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Heinl  Radio  Business  Letter 

2400  CALIFORNIA  STREET  WASHINGTON,  D.  C. 


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INDEX  TO  ISSUE  OF  JULY  2,  1943 


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Wallace  Burns  Up  Jesse  Jones  On  Qpartz  Crystals . 1 

Paul  Porter,  Formerly  Of  CBS,  Named  Food  Czar's  Aide . 2 

Cowles,  New  aFA  Director;  Egolf  Again  V-C  Ad  Council.. . 3 

Investigation  Of  FCC  By  Rep.  Cox  Begins  Today . 4 

Row  Over  FCC  Jobholders  Ties  Up  Pay  Of  Thousands . 4 

Keep  Your  Radio  Turned  On  In  Air  Ra.id,  OCD  Advises . 5 

Senate  Aids  OWI  But  It  Is  Still  Shot  Full  Of  Holes . 6 

FCC  War  Radio  Activities  Assailed  By  Military  Units . 7 

Mediation  Flops  As  Petrillo  Orders  Permanent  Ban . 7 

Mrs.  T.  P.  Littlepage,  Widow  Of  Radio  Counsel,  Passes  Away . 8 

FDR  %stifies  By  Withdrawing  Payne  Nomination . ,9 

Urges  "UjB  To  Review  san  Francisco  Radio  Ruling . .9 

WOR  To  Produce  Weekly  Experimental  Television  Shows . 10 

V/JZ  And  Blue  Expand  Into  Ritzy  New  Quarters . 10 

Trade  Notes, . 11 


No.  1542 


WALLACE  BURNS  UP  JESSE  JONES  ON  QUARTZ  CRYSTALS 


One  of  the  most  sensational  charges  Vice  President  Wallace, 
Chairman  of  the  Board  of  Economic  Warfare,  made  against  Secretary 
of  Commerce  Jesse  Jones  and  head  of  the  Reconstruction  Finance 
Corporation,  was  in  connection  with  the  alleged  blundering  of  the 
latter  in  the  purchase  of  quartz  crystals  so  important  to  the  radio 
industry.  Mr.  Wallace  said: 

"I  now  desire  to  discuss  quartz  crystals,  the  use  of  which 
is  so  utterly  important  to  some  of  our  war  industries.  For  two  years 
now  Brazilian  quartz  crystal,  essential  element  in  airplane,  tank 
and  submarine  radio  sets,  has  been  in  critically  short  supply. 

"During  1941  and  early  1942,  the  Reconstruction  Finance 
Corporation  agent  in  Brazil  bought  2,000  tons  of  crystals.  He 
was  paid  a  commission  of  on  his  gross  purchases,  and  he  bought 
those  crystals  without  checking  to  see  whether  they  were  of  the 
quality  needed  and  paid  for.  Over  85^  of  them  weren't.  The  govern¬ 
ment  lost  between  two  and  six  million  dollars,  and  we  have  heard 
that  United  States  quartz  fabricators  began  raiding  museums  to  get 
usable  crystals. 

"Shortly  after  Aoril  13,  1942,  the  Reconstruction  Finance 
Corporation  replaced  this  agent  although  it  gave  him  equally  lucra¬ 
tive  work  in  New  York.  But  the  situation  in  Brazil  wasn't  improved. 
The  Reconstruction  Finance  Corporation  had  been  burnt  where  it  hurt 
most,  by  having  to  take  a  loss'  on  a  hazardous  undertaking.  The  new 
Reconstruction  Finance  Corporation  agent  began  eliminating  dollar 
losses  the  easy  way.  Not  a  pound  of  quartz  crystal  was  purchased 
by  the  Metals  Reserve  Company  for  six  months.  The  Board  of  Economic 
Warfare  finally  had  to  send  a  top  official  to  Rio  to  get  the  public 
purchasing  resumed,  I  feel  that  Board  of  Economic  Warfare  personnel 
should  have  fought  the  delaying  tactics  of  the  Reconstruction  Finance 
Corooration  more  vigorously  in  this  instance. 

"The  Board  of  Economic  Warfare  finally  insisted  upon  in¬ 
spection  facilities  in  Rio  so  that  crystals  could  be  tested  before 
payment  and  shipment..  The  Array  Signal  Corps  has  been  of  great 
assistance  to  us  on  this  project  by  supplying  20  trained  inspectors 
and  the  necessary  arc-lights,  inspection  baths,  polaroid  screens, 
etc.  The  Array,  of  course,  had  a  critical  military  stake  in  this 
phase  of  our  work  and  has  cooperated  readily  and  effectively. 

"Reconstruction  Finance  Corporation  policy  had  been  to 
keep  a  staff  in  Flio  -  and  to  wait  for  the  business  to  come  in.  When 
the  Board  of  Economic  Warfare  sent  100  engineers  and  qualified  pur¬ 
chasing  agents  into  the  up-country  areas  where  the  crystals  are 


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rained,  Reconstruction  Finance  Corporation  representatives  in  Brazil 
at  first  cooperated  in  supplying  purchase  money  and  contracting 
authority;  then  they  refused  to  cooperate  -  on  ’’instructions  from 
Washington".  The  Board  of  Economic  Warfare  set  up  a  purchasing 
station  at  outlying  Campo  Formosa;  then  we  had  to  move  it  back  to 
Bahia  -  so  that  Reconstruction  Finance  Corporation  funds  could  be 
spent  through  the  bank  there, 

"In  April,  1943,  Board  of  Economic  Warfare  representa¬ 
tives  in  Rio  advised  that  restrictions  put  upon  Metals  Reserve 
Company  agents’  purchasing  authority  by  Reconstruction  Finance 
Corporation  was  preventing  our  meeting  market  prices  in  our  buying 
there  and  that  purchases  were  coming  to  a  halt.  The  Board  of 
Economic  Warfare,  therefore,  directed  the  Reconstruction  Finance 
Corporation  to  relax  its  restrictions.  Reconstruction  Finance 
Corporation  refused,  stating  that  we  didn’t  need  quartz  enough  to 
pay  any  more  for  it.  Three  weeks  later,  after  advice  from  their 
own  Brazilian  representatives,  they  reconsidered  -  and  changed 
their  instructions.  But  not  in  time  to  head  off  the  Special  Repre¬ 
sentative  of  the  Board  of  Economic  Warfare  in  Brazil.  Fed  up  with 
Reconstruction  Finance  Corporation  obstruction  to  his  Brazilian 
program,  he  arrived  in  Washington  to  report.  It  took  his  report, 
plus  a  morning  which  I  spent  with  Jesse  Jones  and  Will  Clayton,  to 
break  this  particular  log-jam.  Throughout  the  period  of  these 
bureaucratic,  obstructionist  tactics  on  the  part  of  the  Reconstruc¬ 
tion  Finance  Corporation,  the  need  for  quartz  crystals  was  criti¬ 
cally  urgent. 

"As  I  previously  indicated,  the  reason  Mr.  Jones  could 
hold  up  our  quartz  crystal  and  quinine  programs  is  because  he  signs 
the  checks  to  pay  for  the  procurement  and  development  of  these 
commodities.  To  put  it  differently,  he  has  been  able  to  delay  this 
part  of  the  war  effort  because  of  his  position  as  banker  for  us, 
notwithstanding  the  complete  delegation  of  powers  over  imports 
which  the  President  gave  the  Board  of  Economic  Warfare  on  the  13th 
of  April,  1942,  following  the  failure  of  the  Reconstruction  Finance 
Corporation  to  build  the  government  stockpiles  of  strategic  mater¬ 
ials  which  Congress  authorized  and  directed  in  the  Summer  of  1940, " 

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PAUL  PORTER,  FORMERLY  OF  CBS,  NAI'vED  FOOD  CZAR’S  AIDE 


One  of  the  first  acts  of  Judge  Marvin  Jones,  the  new  food 
Czar,  in  succeeding  Chester  Davis,  was  to  appoint  Paul  Porter, 

Chief  of  the  Rent  Division  of  OPA,  as  Chief  Executive  Officer  of 
the  War  Food  Administration.  Mr.  Porter  is  well  known  to  the  radio 
industry  and  was  formerly  Washington  counsel  for  the  Columbia  Broad¬ 
casting  System. 

Although  now  called  on  to  serve  Judge  Jones,  Mr.  Porter 
was  the  Deputy  of  Chester  Davis  when  the  latter  was  in  the  National 
Defense  Advisory  Commission.  At  that  time  Mr.  Davis  tried  to  get 

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lir.  Porter  to  join  his  staff.  However,  Mr.  Porter's  Rent  Division 
was  under  fire  at  the  time  and  he  refused  to  leave.  The  inquiry 
into  the  rent  agency  revealed  that  Mr.  Porter  had  held  rents  in 
line  at  a  time  when  other  prices  soared.  Mr.  Porter's  prestige 
shot  up  to  the  point  where  he  was  being  seriously  considered  for 
General  Manager  of  OP A  when  Judge  Jones  asked  him  to  serve  as 
Associated  Administrator. 

A  native  of  Kentucky,  Mr.  Porter  was  educated  at  the 
University  of  Kentucky,  graduating  in  law.  He  worked  as  General 
Counsel  for  a  group  of  newspapers  in  Oklahoma  and  Georgia  before 
coming  into  Government  service  with  the  original  Agricultural 
Adjustment  Administration  where  he  was  at  first  in  charge  of  press 
relations,  and  later  Executive  Assistant  to  Chester  Ifevis.  In 
1940,  he  took  leave  from  his  comoany  to  join  the  staff  of  the 
National  Defense  Advisory  Council,  as  Deputy  to  Mr.  Davis,  the 
agricultural  member  of  the  Council,  and  in  1942  when  the  Office  of 
Price  Adrainstration  was  organized,  became  a  member  of  its  staff. 

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COWLES,  NEW  AFA  DIRECTOR;  EGOLF  AGAIN  V-C  AD  COUNCIL 


Bruce  Barton,  former  member  of  Congress,  head  of  Batten, 
Barton  and  Durstine,  agency  handling  a  large  number  of  radio 
accounts,  was  elected  Chairman  of  the  Board  of  the  Advertising 
Federation  of  America  in  New  York.  Gardner  Cowles,  Jr.,  Des 
Moines  publisher  and  broadcaster,  was  made  a  member  of  the  AFA 
Board.  Willard  D.  Egolf,  Assistant  to  the  President  of  the  National 
Association  of  Broadcasters,  was  re-elected  a  Vice-Chairman  of  the 
Council  on  Advertising  Clubs.  By  virtue  of  this,  Mr.  Egolf  also 
serves  as  a  Vice-President  of  AFA, 

One  of  the  resolutions  passed  urged  Congress  to  weigh  the 
need  for  new  legislation  "to  clarify  and  make  secure  the  freedom  of 
communications  against  the  possibility  of  capricious  legislation. " 

Chester  J.  LaRoche,  Chairman  of  the  War  Advertising 
Council,  speaking  at  the  Advertising  Club  conference  on  war  activ¬ 
ities,  urged  the  advertising  profession  to  institute  oowerful  self¬ 
regulation  through  a  strong  structure  set  up  by  the  four  great 
media  -  newspapers,  magazines,  radio  and  outdoor, 

"And  if  we  don't,  there  is  no  doubt  that  the  Government 
will  have  to  do  it  for  us",  he  added. 

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INVESTIGATION  OF  FCC  BY  REP.  COX  BEGINS  TODAY 


The  long  anticipated  public  hearings  of  the  House  Select 
Committee,  of  which  Representative  Cox  (D),  of  Georgia,  is  Chairman, 
will  begin  today  (Friday).  An  air  of  caution  prevailed  in  the 
preliminary  arrangements,  the  Committee  evidently  not  desiring  to 
tip  its  hand  on  any  of  the  details.  Not  even  the  names  of  the  first 
witnesses  were  made  public.  The  fact  that  the  hearings  were  to 
start  Friday  was  not  officially  stated  until  about  48  hours  ahead  of 
time,  although  preparations  and  even  examination  of  FCC  Commission¬ 
ers  and  officials  has  been  going  on  privately  for  months. 

That  a  crowd  was  expected  at  the  public  hearings  was 
shown  by  the  fact  that  they  are  to  be  held  in  the  large  House  hear¬ 
ing  room  which  seats  as  many  people  as  some  movie  theatres, 

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ROW  OVER  FCC  JOBHOLDERS  TIES  UP  PAY  OF  THOUSANDS 


Thousands  of  Government  employees  were  the  victims  of  a 
deadlock  of  the  House  and  Senate  conferees  on  the  $143,000,000 
urgent  deficience  bill  who  couldn’t  get  together  regarding  the 
ousting  of  two  Federal  Communications  Commission  employees  -  Dr, 
Goodwin  Watson  and  William  Dodd,  Jr.  -  and  Dr.  Morss  Lovett, 
Secretary  of  the  Virgin  Islands,  accused  of  membership  in  subver¬ 
sive  organizations.  The  deadline  for  the  passage  of  the  bill  was 
last  Wednesday,  June  30th,  Thus  the  pay  will  be  delayed  for 
13,000  District  of  Columbia  employees,  several  hundred  legislative 
employees  and  overtime  pay  for  approximately  400,000  Federal 
workers. 


Representative  Cannon  ( D) ,  of  Missouri,  late  last  night 
indicated  that  conferees  expected  to  work  out  a  compromise  which 
would  insure  passage  of  the  measure.  He  declined  to  elaborate  on 
the  proposed  compromise  except  to  say  that  it  involved  a  change  in 
the  language  of  a  provision  cutting  off  three  Government  employees 
from  the  Federal  payroll, 

Mr,  Cannon  indicated,  however,  that  the  House  which 
Wednesday  rejected  by  a  vote  of  301  to  71  a  motion  to  recede  from 
its  position  and  concur  with  the  Senate,  would  not  yield  in  its 
determination  to  see  the  three  men  named  in  its  provision  severed 
from  the  payroll. 

Commenting  upon  the  deadlock,  the  Washington  Post  said; 

"The  Senate  did  well  in  refusing  to  sanction  the  comprom¬ 
ise  proposal  recommended  by  its  conferees  for  inclusion  of  the  Kerr 
amendment  in  the  urgent  deficiency  appropriation  bill.  It  is  to 
be  hoped  that  it  will  adhere  to  tnis  stand  despite  the  strong 
support  of  the  amendment  in  the  House  yesterday.  The  issue  goes 


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far  beyond  the  personal  Interests  of  the  three  individuals  whom 
the  amendment  would  drive  from  Government  service.  It  involves  a 
basic  constitutional  principle. 

"A  good  deal  of  passion  has  been  aroused  over  this  issue. 
And  perhaps  the  passion  has  obscured  the  real  fundamentals  involved. 
We  urge  upon  members  of  the  House  at  this  time  a  fresh  consideration 
of  the  problem  -  not  in  terms  of  the  personalities  and  records  of 
the  three  proscribed  men,  but  in  terms  of  the  conscientious  objec¬ 
tions  raised  by  the  Attorney  General,  by  eminent  Senators  and  by 
some  of  their  own  colleagues  whose  knowledge  of  the  Constitution 
and  devotion  to  its  principles  must  command  their  respect. 

’’Let  us  set  aside  any  legalistic  wrangling  as  to  the 
technical  constitutionality  of  the  Kerr  proposal.  The  fact  remains 
that  it  is  a  method  of  penalizing  specified  individuals  for  cer¬ 
tain  opinions  which  they  are  alleged  to  have  held  long  ago.  As 
such,  it  is  repugnant  to  the  spirit  of  our  most  valued  traditions. 
Even  if  Congress  has  authority  to  follow  such  a  course,  it  is 
unbecoming  to  its  dignity  to  do  so.  The  procedure  is  stamped  with 
the  hallmark  of  pettiness.  ” 

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KEEP  YOUR  RADIO  TURNED  ON  IN  AIR  RAID,  OCD  ADVISES 


DisapprxDval  of  the  blackout  practice  of  throwing  master 
switches,  thus  shutting  off  elevator  service,  radios,  refrigerators, 
pumps  and  ventilating  equipment  in  many  large  buildings,  was  ex¬ 
pressed  today  by  James  M.  Landis,  Director  of  Civilian  Defense, 

The  question  raised  in  connection  with  radios  and  its 
answer  follows; 

Q.  Are  radio  receiving  sets  permitted  to  be  used  during  per¬ 
iods  of  blackout  (BLUE)  or  air  raid  (RED)? 

A.  Yes.  Upon  the  sounding  of  any  air-raid  signal,  keep  your 
radio  receiver  tuned  to  the  radio  station  for  your  area  to  receive 
intermittent  official  announcements  or  bulletsin.  Any  light  (dial 
or  tube)  emitted  by  the  receiver  must,  of  course,  be  obscured. 

XXXXXXXX 

Grade  Fields  and  her  '^Victory  Show  will  switch  to  WOR 
and  the  Mutual  Network,  starting  Monday,  (October  11), 

The  15  minute  programs  to  be  heard  five  times  weekly  at 
9:15  on  a  station  lineup  numbering  between  150  and  200  outlets  - 
will  be  under  the  sponsorship  of  the  American  Cigarette  and  Cigar 
Company,  Inc,,  for  Pall  Mall  Cigarettes. 

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SENATE  AIDS  OWI  BUT  IT  IS  STILL  SHOT  FULL  OF  HOLES 


Although  the  Senate  did  not  concur  with  the  House  in 
lopping  off  the  entire  $8,000,000  Elmer  Davis  had  asked  for  its 
Domestic  Branch,  the  Office  of  War  Information  is  still  a  No.  1 
casualty  of  the  Battle  of  Washington.  At  tnis  writing  the  confer¬ 
ence  report  has  not  been  made  but  it  looks  as  if  the  Domestic  Radio 
Bureau,  which  has  a  chance  of  getting  about  $800,000  fared  pretty 
well  considering  what  happened  to  some  of  the  other  bureaus. 

The  Senate  voted  $3,561,499  for  OWI  domestic  operations 
and  the  conferees  agreed  yesterday  to  a  reduction  of  $811,499  from 
the  Senate  figure  which  the  conferees  admitted  unliesitatingly 
will  allow  only  partial  OWI  operations  at  home  in  the  next  12  months 

Thus  the  total  OWI  appropriation  in  the  2  billion  900 
million  dollar  War  Agency  spending  bill  would  be  reduced  to 
$33,155,993,  compared  with  "$47,342,000,  the  amount  of  the  new 
appropriation  which  the  agency  demanded  of  Congress  early  in  1942. 
Senator  O'Mahoney  ( D) ,  of  Wyoming,  tried  to  raise  the  domestic 
operations  appropriation  to  $5,550,000  but  was  beaten  40  to  34, 

By  beating  the  O' Mahoney  amendment,  the  Senate  restricted 
the  Domestic  Branch  funds  to  these  purposes:  For  the  Director's 
office,  $125,000;  Program  Co-ordination,  $225,000;  News  Bureau, 
$900,000;  Bureau  of  Special  Services,  $950,000;  Radio  Bureau 
$811,499,  and  motion  picture  bureau,  only  $50,000  to  maintain 
liaison  with  Hollywood,  All  this,  however,  must  be  passed  on 
and  approved  by  the  House, 

Senator  ladings,  (D),  of  Maryland,  led  the  fight  against 
adding  to  the  sum  the  Appropriations  Committee  had  recommended, 
directing  his  fire  chiefly  at  the  field  offices.  The  increased 
amount  failed,  despite  the  support  of  Minority  Leader  McNary  of 
Oregon,  who  expressed  full  confidence  in  the  ability  of  Palmer  Hoyt, 
new  head  of  the  Domestic  Branch  of  OWI.  Senator  McNary  pointed  out 
that  Mr.  Hoyt,  who  comes  from  Oregon,  was  Managing  Editor  of  one 
of  tne  oldest  Republican  newspapers  in  the  West, 

When  Majority  Leader  Barkley  made  the  same  argument. 
Senator  Taft  (R),  of  Ohio,  asked  what  assurance  the  Senator  could 
give  that  Elmer  Davis  or  Mr.  Hoyt  would  not  resign.  Senator  Taft 
argued  there  was  danger  in  basing  approoriations  on  confidence  in 
individuals. 

Senator  McKellar  ( D) ,  of  Tennessee,  in  charge  of  the  bill, 
praised  OWI  officials  for  the  showing  they  made  before  the  committee 
and  Senator  Mead  (d),  of  New  York,  spoke  in  defense  of  the  agency. 

Elmer  Davis  appeared  uncertain  as  to  the  extent  to  which 
his  agency,  in  view  of  appropriation  cuts,  could  carry  on,  but 
stated  flatly  he  would  not  resign  unless  effective  readjustments 
were  found  to  be  impossible.  Mr.  Davis  had  an  Interview  with 
President  Roosevelt  at  the  White  House  yesterday, 

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Handwriting  was  seen  on  the  wall  of  the  beginning  of 
the  end  of  a  large  part  of  OWI  domestic  activities  when  Mr.  Davis 
disclosed  that  orders  have  already  been  issued  to  close  58  branch 
and  regional  offices  located  in  every  State  except  Wyoming,  Nevada 
and  Idaho.  The  liquidation,  involving  330  employees,  is  to  be 
completed  by  July  15. 


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FCG  WAR  RADIO  ACTIVITIES  ASSAILED  BY  MILITARY  UNITS 

The  opening  gun  at  the  Cox  FCC  hearing  this  (  Friday) 
morning  was  ths.t  the  War  and  Navy  Departments,  charging  that  radio 
intelligence  activities  of  the  Federal  Communications  Commission 
have  endangered  military  radio  intelligence,  have  unsuccessfully 
asked  President  Roosevelt  to  give  the  right-of-way  in  this  field 
to  the  military. 

The  Joint  Chiefs  of  Staff,  througli  Adm.iral  William  D. 
Leany,  recommended  in  February  the  issuance  of  an  Executive  Order 
transferring  FCC^ s  "functions,  powers  and  duties"  in  radio  intelli¬ 
gence  to  txie  military  services. 

A  letter  from  the  Admiral,  dated  February  1st,  read  in 

part : 


"Information  obtained  through  the  FCC  through  its  own 
radio  intelligence  activities  is  not,  in  the  military  sense, 
secure,  due  to  inherent  tendencies  toward  publicity  of  FCC  activi¬ 
ties,  use  of  non-secure  methods  of  reporting  and  correlation,  and 
the  necessarily  close  relationship  of  FCC  military  intelligence 
activity  with  other  phases  of  the  agency’s  work." 

"Because  of  the  essential  differences  between  military 
and  FCC  standards  and  methods,  it  has  not  been  possible  to  inte¬ 
grate  their  information,  with  the  result  that  the  attempted  duplica¬ 
tion  by  the  FCC  of  work  that  is  being  more  effectively  done  by  the 
military  has  in  fact  endangered  the  effectiveness  and  security  of 
military  radio  intelligence. " 

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MEDIATION  FLOPS  AS  PETRILLO  ORDERS  PExRJ.lANEMT  BAN 

The  Government  move  in  New  York  Thursday  to  mediate  the 
controversy  between  James  C.  Petrillo,  President  of  the  American 
Federation  of  Musicians,  was  a  complete  flop.  As  reported  by  Jack 
Gould  in  the  New  York  Times,  the  session  ended  in  15  minutes  when 
Mr.  Petrillo  announced  that  the  union  no  longer  was  interested  in 
negotiating  a  settlement  and  intended  to  stop  the  transcription 
industry  permanently. 


7 


/. . 


7/9/43 


Mr.  Petrillo  minced  no  words  in  detailing  his  position, 

"We're  not  going  to  make  any  transcriptions  at  any  cost 
or  at  any  price",  Mr.  Petrillo  said.  "I  told  the  comoanies,  *We're 
not  going  to  make  transcriptions  for  you  at  all  any  more  because  you 
haven't  anything  we  want.' 

"The  guy  really  getting  rich  -  it  isn't  the  transcription 
company  -  is  the  radio  station  using  the  transcriptions  and  he's 
the  guy  we  can't  reach. 

"The  transcription  people  tell  us  that  their  gross  busi¬ 
ness  is  $4,000,000,  that  they  pay  musicians  $1,100,000  and  that 
their  net  is  $250,000,  The  companies  can't  give  up  anything.  If 
they  gave  us  their  entire  gross  it's  still  small  peanuts  to  the 
federation,  " 

Asked  if  he  would  not  leave  himself  open  to  charges  of 
blocking  mechanical  progress,  Mr,  Petrillo  replied: 

"Yes,  I  know,  but  we  can't  get  at  them  (the  radio  sta¬ 
tions)  any  other  way.  We've  got  to  go  to  the  source. ^  The  only 
thing  we  can  do  is  stopp  the  transcription, " 

XXXXXXXX 


MRS.  T.  P.  LITTLEPAGE,  WIDOW  OF  RADIO  COUNSEL,  PASSES 


Mrs,  Thomas  P,  Littleoage,  widow  of  Thomas  P.  Littlepage, 
a  pioneer  radio  lawyer  of  Washington,  who  died  last  Sunday  was 
buried  Tuesda.y  in  Rock  Creek  Cemetery.  As  in  the  case  of  Mr. 
Littlepage,  who  was  one  of  the  National  Capital's  outstanding  citi¬ 
zens  and  former  President  of  the  Washington  Chamber  of  Commerce, 
the  Rev,  Dr,  James  Shera  Montgomery,  Chaplain  of  the  House  of 
Representatives  officiated  at  the  funeral  services.  Dr.  Montgomery 
and  the  Littlepage s  were  all  from  Indiana, 

Mrs.  Littlepage,  who  was  63  years  old,  was  born  near 
Evansville  and  came  to  Washington  more  than  35  years  ago.  She  had 
been  living  on  the  Littlepage  farm  at  Bowe,  Md.  ,  one  of  the  finest 
estates  in  that  part  of  the  country  for  the  last  25  years. 

She  is  survived  by  three  sons,  Lt,  Thomas  P.  Littlepage , Jr. 
who  is  in  the  Navy  Department  here;  James  H.  Littlepage,  an  attorney 
in  Richmond,  Va, ,  and  John  M.  Littlepage,  himself  well  known  as  a 
radio  counsellor  and  a  member  of  his  father' s  law  firm,  and  two 
daugnters,  Mrs,  Willard  L.  ^art  and  Mrs,  William  B.  Fletcher,  Jr.  , 
both  of  Bowie. 


XXXXXXXXXX 


8 


n  , 


r  f  * 


7/2/43 


FDR  MYSTIFIES  BY  WITHDRAWING  PAYNE  NOMINATION 


At  this  writing  (Friday  noon  -  July  2)  there  was  still 
considerable  mystification  with  regard  to  the  withdrawal  of  the 
renomination  of  George  Henry  i^ayne  for  a  third  term  as  Commissioner 
of  the  Federal  Communications  Commission.  Mr.  Payne  is  a  Republican 
and  in  1912  served  as  campaign  manager  for  President  "Teddy” 
Roosevelt,  The  President  sent  Mr.  Payne’s  nomination  to  the  Senate 
Thursday  and  the  fact  that  he  withdraw  it  24  hours  later  on  the  eve 
of  the  beginning  of  the  Cox  FCC  investigation,  caused  considerable 
speculation.  Representative  Cox  said  that  Mr.  Payne  would  be  called 
upon  to  testify.  There  was  confirmation  of  the  report  that  charges 
would  be  made  against  Mr.  Payne  at  the  Cox  hearings. 

"Any  FCC  Commissioner  who  doesn’t  have  charges  made 
against  him  at  that  investigation  will  be  lucky",  someone  observed. 

There  were  two  big  question  in  the  mystery. 

1.  Why,  if  the  President  intended  to  drop  Payne  on  July  1, 
did  he  send  his  renomination  to  the  Senate  on  June  30? 

2,  Why  did  the  President  intend  to  drop  Payne  from 
office  -  a  move  automatically  effected  by  withdrawing  the  nomina¬ 
tion,  since  the  Commissioner's  term  exoired  midnight  Wednesday, 

On  the  first  question  informed  officials  generally,  but 
not  unanimously,  speculated  that  the  nomination  went  to  the  Senate 
by  an  outright  clerical  error  on  the  part  of  the  IWhite  House  secre¬ 
tarial  staff.  The  suggestion  was  that  with  Payne’s  terra  expiring 
at  midnight,  the  nomination  was  railroaded  with  a  batch  of  other 
names,  without  the  President's  noticing  and  that  the  President 
had  promised  the  position  to  someone  else. 

On  the  second  question  the  White  House  silence  let  down 
the  bars  for  a  storm  of  speculation,  ranging  from  the  tantalizing 
question  of  office  politics  within  the  FCC,  to  more  lavish  issues 
of  high  political  policy. 

Payne  was  understood  to  have  the  indorsement  of  the  two 
Senators  from  his  State,  Senators  Wagner  and  Mead  of  New  York,  both 
Democrats  and  staunch  supporters  of  White  House  policy. 

XXXXXXXX 

URGES  WLE  TO  REVIEW  SAN  FRAI'JCISCO  RADIO  RULING 

The  National  Association  of  Broadcasters  has  urged  the 
San  PY’ancisco  regional  War  Labor  Board  to  reject  an  arbiter’s 
award  which  stated  that  the  job  of  a  radio  technician  was  the  same 
no  matter  where  he  worked. 


-  9  - 


r-  '  j 


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7/2/43 


Award  was  made  by  G-eorge  Cheney  of  the  U.  S.  Conciliation 
Service,  sitting  as  an  arbiter  in  a  wage  dispute  between  Station 
KPAS,  Pasadena,  California,  and  the  International  Brotherhood  of 
Electrical  Workers,  Local  40,  It  was  subject  to  review  under 
Executive  Orders  9250  and  9328  by  the  War  Labor  Board. 

The  NAB  brief  was  filed  at  a  Board  hearing  in  Los 

Angeles. 


X  X  X  X  X  X 

WOR  TO  PRODUCE  WEEKLY  EXPERII^INTAL  TELEVISION  SHOWS 


One  of  the  many  problems  faced  by  radio  stations  today 
is  the  future  of  television,  its  programming  possibilities,  com¬ 
mercial  aspects,  visual  problems,  size  of  production  groups, 
script  limitations  stagecraft  and  many  others,  a  WOR  release 
states  and  continues: 

”In  a  comprehensive  endeavor  by  WOR  executives  to  answer 
these  questions,  the  Station's  Program  Department  will  produce 
and  present  a  series  of  experimental  television  shows, 

"Facilities  of  the  Du  Mont  Television  Station  W2XWV  at 
515  Madison  Avenue  will  be  used  once  a  week  to  televise  WOR's  pro¬ 
grams,  but  there  will  be  no  other  connection  between  the  two 
organizations.  At  present  it  is  expected  that  the  hou2>-long  tele¬ 
casts  will  be  presented  every  Tuesday  evening  starting  July  12, 

According  to  Theodore  C,  Streibert,  Vice  President  of 
ViiOR,  this  will  enable  the  staff  to  familiarize  itself  with  the 
demands  and  techniques  of  this  new  medium.  " 

XXXXXXXX 

WJZ  AND  BLUE  EXPAND  INTO  RITZY  NEW  QUARTERS 

Because  of  expansion  in  several  departments,  various  mem¬ 
bers  of  the  Blue  Network  staff  of  Station  WJZ  will  move  on  July  1 
to  new  quarters  on  the  second  and  fourteenth  floors  of  the  RCA 
Building  from  their  present  quarters  on  the  third  floor. 

With  the  move  to  the  second  floor,  WJZ  will  have  separate 
quarters  for  the  first  time,  instead  of  using  the  same  rooms  occup¬ 
ied  by  the  Blue,  Among  those  who  will  move  to  the  WJZ  quarters  are 
John  H.  McNeil,  Manager;  John  Hade,  Commercial  Program  Manager; 
Slocum  Chapin,  Acting  Sales  Manager;  Tom  Ellsworth,  Sales  Promotion 
^''ianager;  Joseph  M.  Seiferth,  Audience  Promotion  Manager;  and  Luellen 
L,  Stearns  and  Stuart  MacHarrie,  salesmen. 

Those  of  the  Blue  Network  staff  who  will  move  with  their 
respective  assistants  to  new  offices  in  another  part  of  the  build¬ 
ing  on  the  second  floor  include  Dr.  H,  B.  Summers,  Director  of 
Public  Service;  Grace  Johnsen,  Director  of  Women's  Activities; 
Stanley  Florsheira,  in  charge  of  local  cooperative  orograms;  and 
Alma  Kitchell  women*  s  news  commentator. 

X  X  X  X  X  X  X 


7/2/45 


A  booklet  has  just  been  issued  "How  RCA  Electronic  Tele¬ 
vision  Brouglit  Sight  to  Radio"  with  the  subtitle  "Historic  Steps 
in  the  Evolution  of  Electronic  Television  Created  by  RCA  Laborator¬ 
ies.  " 


The  Federal  Communications  Commission  has  granted  the 
application  of  Poirt  Arthur  College  (KPAC),  Port  Arthur,  Texas,  to 
increase  power  on  1250  kilocycles  from  500  watts  using  directional 
antenna  at  night,  to  1  kilowatt  unlimited  time,  and  to  make  changes 
in  the  directional  antenna  for  nighttime  operation,  subject  to  the 
condition  that  no  interference  will  be  caused  in  contravention  of 
the  terras  of  the  North  American  Regional  Broadcasting  Agreement. 


The  NBC  Symphony,  conducted  during  the  Winter  season  by 
Arturo  Toscanini  and  Leopold  Stokowski,  5  to  6  P.M.  Sundays,  will  be 
sponsored  commercially  on  a  year-round  basis  by  the  General  Motors 
Corporation, 

Just  prior  to  this  CBS  made  it  known  that  it  had  signed  a 
three-year  contract  with  the  Philadelphia  Orchestra,  conducted  by 
Eugene  Ormandy,  for  a  series  of  concerts  from  1  to  2  P.M,  Saturdays, 
beginning  Oct.  2. 


The  Commission  has  amended  its  Part  42  of  the  Rules  and 
Regulations  to  permit  domestic  wire  telegraph  carriers  to  destroy 
copies  of  both  domestic  and  international  messages  in  their  custody 
in  the  continental  United  States  after  a  lapse  of  three  months  from 
the  date  of  filing.  Instead  of  twelve  months  as  heretofore  required. 
This  applies  only  to  domestic  wire  telegraph  carriers  and  copies  of 
all  international  messages  are  still  to  be  retained  by  the  inter¬ 
national  carriers  in  accordance  with  the  Commission's  present  regu¬ 
lations. 


The  Federal  Communications  Commission  on  Wednesday  extend¬ 
ed  until  January  1,  1944,  the  date  by  which  50  independent  telephone 
companies  must  file  statements  of  their  proposed  methods  for  keeping 
certain  accounting  records.  The  Commission  said  that  meanwhile  it 
would  call  a  conference  on  the  order,  probably  in  the  latter  part 
of  July. 

The  delay  was  requested  by  the  United  States  Independent 
Telepnone  Association  and  by  two  independent  companies,  the  Nebraska 
Continental  Telepnone  Co,  and  the  Horae  Telephone  and  Telegraph  Co, 
of  Fort  Wayne,  Ind. 

The  FCC  also  authorized  R.  C.A,  Communications,  Inc,,  to 
intervene  in  proceedings  on  the  application  for  merger  of  the 
Western  Union  and  Postal  Telegraph  Companies, 

XXXXXXXX 


11  - 


Heinl  Radio  Business  Letter 

2400  CALIFORNIA  STREET  WASHINGTON,  D.  C. 


NAilUNAL  BnOACGASHNG  CQMFANY,  INC 
general  library 

30  ROCKEFELLER  PLAZA,  NEW  YORK,  N.  Y. 


INDEX  TO  ISSUE  OF  JULY  9,  1943 


Taft  Blast  Seen  Trouble  For  FCC  From  New  Quarter . ,.l 

Jesse  Jones  Bangs  Bads:  At  Wallace  On  Quartz  Crystals . 3 

Petrillo  Says  Will  Not  Pull  A  John  L.  Lewis  With  WLB . 5 

Says  Fly  Went  Haywire  On  Monopoly  Cha.rges . 6 

Wheeler  Assures  Good  FCC  Going  Over  In  Fall . 6 

Senate  Adjourns  Without  Hearing  Further  About  Payne . 7 

President  Seen  Backing  Cox-Fly  Slugfest . 8 

Davis  In  Eclipse  As  Publishers  Aid  In  Revamping  OWI . 9 

FCC  Employee  Bill  Tying  Up  Thousands  Pay  Unsigned . 10 

Lowell  Mellett  Resigns  As  OWI  Movie  Chief . 10 

FCC  To  Probe  Charges  On  Radio,  Wire  Pictures . 10 

Calls  Gardner  Cowles  One  Of  OWI*s  ’'Forces  Of  Sanity” . 11 


No.  1543 


TAFT  BLAST  SEEN  TROUBLE  FOR  FCC  FROM  NEW  QUARTER 


A  shot  across  the  how  by  Senator  Bob  Taft  ( R) ,  of  Ohio, 
proposing  that  Congress  curb  the  Federal  Corarauni cat ions  Commission, 
brought  a  heavy  hitter  into  the  scrap  who  may  cause  plenty  of 
trouble  for  the  Commission,  Mr.  Taft,  whose  family  own  Station 
WKRC  in  Cincinnati,  and  the  Cincinnati  Times- Star  and  who  is  still 
talked  of  as  a  possible  presidential  nominee,  declared  that  the 
Supreme  Court  had  gone  entirely  too  far. 

”It  is  ray  belief  that  this  opinion  threatens  freedom  of 
speech  in  the  United  States  unless  it  Is  corrected  by  legislation, " 
Senator  Taft  said. 

"In  ray  opinion  the  Congress  should  proceed  at  once  to 
amend  the  Federal  Communications  Act  to  define  precisely  the  liraita" 
tions  of  authority  to  be  conferred  on  the  Federal  Communications 
Commission,  The  senior  Senator  from  Maine  (Mr.  White)  and  the 
senior  Senator  from  Montana  (Mr.  Wheeler)  have  introduced  a  bill  to 
carry  out  this  purpose.  They  are  experts  on  the  question,  and  are 
familiar  with  the  intent  of  the  former  act,  I  hope  that  hearings 
may  be  held  immediately  upon  the  proposed  bill,  and  that  Congress 
may  consider  it  immediately  upon  its  return  from  the  recess.  In  the 
meantime,  the  regulations  should  be  suspended  until  the  whole  prob¬ 
lem  can  be  considered  by  Congress.  Only  in  that  way  can  we  defend 
ourselves  against  the  most  serious  infringement  on  the  ri^t  of 
freedom  of  speech  in  the  United  States  which  has  occurred  since  the 
Bill  of  Rights  was  adopted,  “ 

Senator  Taft  said  that  if  rules  to  prevent  monopoly  in 
the  network  field  are  to  be  added,  they  should  be  made  by  Congress 
and  not  by  the  FCC,  Senator  Ta.ft  took  up  the  cudgel  for  the  news¬ 
papers  saying  the  present  administration  has  shown  no  concern  for 
the  freedom  of  the  press  and  added: 

”No  doubt  the  Associated  Press  could  secure  the  dismissal 
of  the  suit,  if  they  were  willing  to  run  their  business  as  the 
Department  of  Justice  or  some  other  New  Deal  agency  thinks  that  the 
distribution  of  news  should  be  run.  ” 

’’From  the  time  that  the  President  traveled  publicly  all 
over  the  United  States  without  a  word  appearing  in  the  newspapers, 
the  people  have  lost  confidence  in  the  accuracy  or  completeness  of 
any  news.  Such  a  condition  is  not  freedom  of  the  press. ” 

•’While  all  the  FCC  policies  indicate  that  the  administra¬ 
tion  has  no  real  interest  in  freedom  of  the  press  in  this  country, 
the  Ingrained  insistence  of  our  people  upon  that  freedom  has  pre¬ 
vented  any  great  progress  toward  actual  suppression  of  the  freedom 
of  newspapers  and  magazines.  Publications  still  represent  every 

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shade  of  opinion  among  the  people,  and  anyone  with  a  real  message 
can  find  a  newspaper  or  magazine  to  print  it.  There  is  as  yet  no 
Federal  agency  in  control  of  the  press,  and  there  is  as  yet  no 
Federal  bureau  which  licenses  the  press. 

"But  what  is  true  of  the  newspapers  is  no  longer  true  of 
the  radio,  and  the  radio  is  an  even  more  Important  instrument  of 
free  soeech  than  the  newspaper.  In  the  broadcasting  case  the 
Federal  Communications  Commission  undertook  to  issue  regulations 
assuming  complete  control  of  all  the  relations  between  the  local 
broadcasting  stations  and  the  networks  and  breaking  down  the  network 
system  which  has  grown  up  in  recent  years.  The  Commission  did  this 
under  the  Communications  Act  of  1934,  not  by  direct  regulations  of 
chain  broadcasting  but  by  using  its  power  to  refuse  licenses  to 
local  stations.  These  regulations  provided  that  no  license  should 
be  granted  to  any  station  having  a  contract  with  a  network  which 
provides  that  it  shall  only  broadcast  the  programs  of  that  netv^ork, 
or  a  contract  which  provides  that  other  stations  within  the  area 
cannot  use  the  network's  programs.  Licenses  are  to  be  denied  to  any 
station  having  a  contract  with  a  network  for  more  than  2  years,  or 
giving  the  network  options  on  more  than  a  very  limited  period  of 
time.  The  Commission  will  refuse  licenses  to  any  local  station 
which  does  not  retain  the  complete  right  to  reject  any  program  in 
its  own  discretion,  or  which  agrees  that  it  will  not  undercut  its 
network  rates  for  national  advertisers  who  come  to  it  directly. 

"It  seems  obvious  that  if  licenses  can  be  denied  for  vio¬ 
lations  of  regulations  of  this  kind,  they  can  be  denied  foralmost 
any  method  of  conducting  the  local  radio  business  of  which  the  Com¬ 
mission  does  not  approve.  If  these  regulations  are  valid,  then 
local  stations  are  subject  to  almost  any  rules  which  the  Federal 
Communications  Commission  sees  fit  to  make.  The  Court  held  that 
these  regulations  were  valid,  and  the  majority  decision  of  Mr.  Just¬ 
ice  Frankfurter  is  broad  enough  to  justify  any  regulation  which  is 
not  completely  arbitrary,  " 

"In  other  words,  it  is  declared  that  control  of  what 
reaches  the  American  people  over  the  air  has  oassed  from  the  Ameri¬ 
can  oublic  into  the  hands  of  an  all-powerful  Commission,  whose 
edicts  are  final  and  conclusive,  and  which  exercises  powers  as  com¬ 
plete  as  those  existing  in  many  foreign  countries.  " 

"The  protection  of  the  network  system  has  been  commercial 
advertising.  By  this  means  it  has  been  possible  for  the  broad¬ 
casters  to  send  over  the  air  programs  that  represent  millions  of 
dollars  of  expenditure.  But  if  that  expenditure  is  to  be  justified, 
the  advertiser  must  be  guaranteed  an  audience  sufficiently  large  to 
make  the  expenditures  worth  while. 

"But  the  regulations  which  have  been  upheld  prevent  any 
network  from  guaranteeing  to  an  advertiser  any  of  the  affiliated 
stations;  in  fact,  they  destroy  the  whole  system  of  affiliated  sys¬ 
tems,  A  majority  of  a  seven-man  board  has  decided  that  the  present 
network  system  is  entirely  wrong,  and,  without  consultation  with 
Congress,  has  undertaken  a  compulsory  restriction  which  may  well 
destroy  these  systems, " 

XXXXXXXXX 

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7/9/43 


JESSE  JONES  BANGS  BACK  AT  WALLACE  ON  QUARTZ  CRYSTALS 


Secretary  of  Commerce  Jesse  Jones  replied  Texas  fashion 
to  the  charges  of  negligence  by  Vice-President  Wallace  that  the 
former  had  mishandled  the  quartz  crystal  situation.  Said  Secretary 
Jones: 


'•Vice-President  Wallace  states:  'For  two  years  now 
Brazilian  quartz  crystal,  essential  element  in  airplane,  tank  and 
submarine  radio  sets,  has  been  in  critically  short  supply, * 

"This  statement  is  misleading.  There  has  been  no  actual 
shortage.  All  consuming  demands  have  been  met.  There  is  now  a 
large  stockpile  in  Government  hands,  which  is  increasing,  RFC*s 
sales  of  quartz  crystal  to  manufacturers  during  the  last  three 
months  have  been  the  smallest  in  more  than  a  year,  in  part  because 
the  demand  for  this  material  is  levelling  off,  and  in  part  because 
consumers  hold  ample  stocks. 

"Morris  Rosenthal,  head  of  the  BEW  Imports  Office,  cabled 
to  the  BEW  representative  in  Brazil  on  May  S7th  saying  *  stock  posi¬ 
tion  here  is  such  that  it  is  not  necessary  to  reach  for  quartz  in 
Brazil  at  present';  and  on  June  26th  BEW  wired  its  representative 
in  Argentina  that  the  quartz  crystal  situation  is  easier  and  that 
therefore  the  examination  of  an  Argentine  deposit  was  not  warranted, 

"Mr.  Vifallace  states  that  during  1941  and  early  1942  the 

RFC  agent  in  Brazil  'bought  2,000  tons  of  crystals . without 

checking  to  see  whether  they  were  of  the  quality  needed  and  paid 
for'  and  that  over  85^  of  them  were  not.  Mr.  Wallace  says  the 
Government  lost  between  twt)  and  six  million  dollars.  Those  state¬ 
ments  are  largely  incorrect,  and  deliberately  misleading, 

"RFC  purchases  to  Aoril  13,  1942,  amounted  to  approxi¬ 
mately  1600  tons.  The  cost  of  this  material  was  $7,750,000. 

"During  the  period  in  question,  RFC  purchased  all  of the 
quartz  crystal  available  in  Brazil,  whether  of  good  grades  or  poor, 
under  an  arrangement  with  the  Brazilian  government  to  prevent  any 
crystals  from  reaching  Axis  sources.  Instead  of  more  than  85^  being 
of  no  value,  however,  between  35  and  40^  of  the  1600  tons  are  suit¬ 
able  for  radio  use  (which  is  the  normal  recovery  based  on  the  exper¬ 
ience  of  private  importers).  It  is  estimated  and  our  opinion  that 
no  loss  will  be  sustained  by  the  Government  on  the  material  in  ques¬ 
tion.  This  result  has  been  brought  about  by  the  technical  discovery 
that  much  material  previously  considered  unusable  can  be  fully 
utilized.  It  is  therefore  fortunate  that  RFC  bought  the  entire  out¬ 
put,  good  and  poor. 

"Mr.  Wallace  refers  to  a  commission  of  1^%  having  been 
paid  the  RFC  agent  on  his  gross  purchases.  The  following  are  the 
facts : 

"In  May  1941,  the  RFC  with  the  cooperation  of  the  State 
Department,  entered  into  an  over-all  purchase  agreement  with  the 

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7/9/43 


Brazilian  Government  covering  twelve  strategic  and  critical  mater¬ 
ials  of  Brazilian  production.  Under  this  agreement  the  Brazilian 
Government  issued  a  decree  confining  the  exportation  of  these 
materials  to  the  United  States,  and  the  RFC  agreed  to  ourchase  all 
of  such  materials  at  prices  agreed  upon.  Due  to  the  fact  that  con¬ 
siderable  quantities  of  these  materials  were  at  that  time  being 
exported  to  Germany,  Italy  and  Japan,  quick  action  had  to  be  taken 
in  order  to  stop  this  traffic.  Rather  than  attempt  quickly  to 
set  up  a  buying  organization  in  Brazil,  we  decided  that  both  time 
and  money  could  be  saved  by  eranloying  a  capable  American  firm, 
experienced  in  the  business  of  importing  metals,  to  ha.ndle  this 
business  for  us.  This  we  did,  rriaying  a  commission  of  which  was 
less  than  we  could  have  done  the  work  for  ourselves  and  is  far  less 
than  it  is  costing  the  BEW  at  the  present  time. 

'•lAr.  TTallace  also  states  that  RFC  refused  to  ‘relax  its 
restrictions'  on  the  ourchase  of  quartz  crystal,  because  ‘we  didn't 
need  quartz  enough  to  pay  more  for  it, '  This  statement  is  not  true, 
RFC  did  not  refuse  to  relax  its  restrictions.  It  merely  asked  BEW 
for  certain  information  before  it  acted. 

"Starting  in  October  1942,  RFC  has  purchased  in  the  United 
States,  under  BEW  directive,  ^8,500,000  in  scarce  equipment  for 
shipment  to  Brazil  to  be  used  in  mining  quartz,  mica  and  tantalum, 
but  predominantly  for  quartz.  These  minerals  have  usually  been 
produced  by  hand  labor,  but  BEW  thou^t  production  could  be  increas¬ 
ed  by  mechanizing  operations  with  bulldozers,  tractors,  compressors, 
rock  drills,  etc.  In  addition  to  the  aforesaid  equipment  bought  in 
this  country  and  shipped  to  Brazil,  substantial  amounts  of  such 
macninery  have  been  bought  in  Brazil  by  RFC,  under  directive  of  BEW, 

"We  are  advised  that  much  of  this  machinery  has  not  been 
put  to  work,  but  is  lying  idle  and  rusting.  Considering  that  this 
equipment  is  vital  to  our  war  effort,  the  loss  cannot  be  measured 
in  terms  of  wasted  money  alone.  Notwithstanding  this  and  the  fact 
that  much  of  the  machinei-y  already  on  hand  is  not  being  used,  BEW 
continues  to  direct  RFC  to  buy  additional  machinery  and  equipment, 

"May  12,  1943,  BEW' s  Brazilian  representatives  estimated 
that  exports  of  quartz  crystal  during  the  second  half  of  1943  would 
average  113  short  tons  a  month.  This  compares  with  an  average  of 
over  160  tons  a  month  during  the  first  year  RFC  bought  quartz  in 
Brazil,  and  before  BEW  had  sent  100  or  more  engineers  and  ourchasing 
agents  to  Brazil  and  had  directed  RFC  to  buy  so  much  machinery, ” 

xxxxxxxxx 

With  new  business  sales  soaring  60  percent  over  last 
year's  total,  WOR  has  exceeded  in  dollar  volume  every  June  in  the 
history  of  the  station,  according  to  Eugene  S.  Thomas,  WOR  Sales 
Manager,  The  new  business  gain  led  the  way  to  a  26  per  cent  rise 
in  total  business  over  June  of  1942, 

XXXXXXXXX 


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7/9/43 


PETRILLO  SAYS  WILL  NOT  PULL  A  JOHN  L.  LEWIS  WITH  WLB 


James  C.  Petrillo,  President  of  the  American  Federation 
of  Labor,  having  recently  pooo-oooped  John  L.  Lewis  as  more  or  less 
of  a  piker,  there  is  considerable  speculation  as  to  whether  he  will 
not  employ  the  Lewis  tactics  with  the  War  Labor  Board  before  which 
he  has  been  summoned  to  appear  today  (Friday).  fJIadam  Perkins, 
Secretary  of  Labor  certified  the  case  to  the  WLB  after  Mr.  Petrillo 
calmly  declared  in  New  York  that  he  thou^t  the  electrical  trans¬ 
cription  business  should  be  permanently  discontinued.  Mr,  Petrillo 
has  already  denied  any  intention  of  doing  this  but  nevertheless 
didn’t  show  much  enthusiasm  about  the  latest  Government  hearing 
though  he  did  say  that  either  he  or  his  counsel  Joseph  Padway  would 
attend  today’s  session. 

The  threat  of  Mr.  Petrillo  which,  if  carried  out,  would 
virtually  destroy  a  well-established  industry,  caused  an  immediate 
outburst  from  the  press  which  already  has  panned  the  little  music 
czar  repeatedly.  Also  it  should  be  noticed  that  the  newspapers  have 
been  taking  up  the  cudgel  more  and  more  frequently  of  late, 

"The  Administration,  Congress  and  the  Supreme  Court  have 
among  them  placed  in  the  hands  of  James  Caesar  Petrillo  the  power 
to  force  practically  every  musician  in  the  country  to  join  his 
union",  says  the  New  York  Times.  "They  have  placed  in  his  hands 
the  power  to  tell  these  musicians  when  and  how  and  whether  or  not 
they  can  make  recordings.  They  have  placed  in  his  hands  the  private 
arbitrary  power  to  tell  the  American  people  v;hat  music  they  can  and 
cannot  hear.  They  have  placed  in  his  hands  the  power  to  boycott  and 
thereby  the  power  to  ruin  theatres,  restaurants,  concert  halls, 
transcription  companies  and  radio  companies  that  do  not  do  his  bid¬ 
ding. 

"They  have  given  to  Petrillo  and  every  other  labor  leader 
a  special  exemption  from  the  anti-trust  and  anti-conspiracy  laws, 
a  special  exemption  even  from  the  anti- racketeering  laws.  They  have 
put  labor  leaders,  as  such,  above  the  laws  that  apply  to  everyone 
else.  And  then  they  are  amazed  and  hurt  and  horrified  when  these 
labor  leaders  proceed  to  make  use  of  the  legal  immunities  that  they 
have  been  at  such  pains  to  shower  upon  them. " 

"Several  months  ago,  in  the  course  of  hearings  before  a 
Congressional  Committee,  Mr.  Petrillo  was  reported  to  have  assured 
Senator  Wheeler  that  the  Union  did  not  intend  to  wipe  out  an 
industry",  the  Washington  Star  declared.  "At  the  time.  Senator 
Wheeler  said  that  such  a  move  would  be  met  by  prompt  Congressional 
action.  Now,  however,  Mr.  Petrillo  has  changed  his  mind,  and  has 
served  notice  on  the  transcription  industry  to  prepare  for  summary 
execution.  It  remains  for  Congress  to  say  whether  the  sentence  is 
to  be  carried  out, " 

"As  the  law  is  now  interpreted  by  the  Supreme  Court, 
there  seems  to  be  no  m.eans  of  restraining  Petrillo",  the  Washington 
Post  concludes. 


-  5  - 


JIATYY 


7/9/43 


“Seven  transcription  companies  have  requested  that  the 
dispute  be  certified  to  the  War  Labor  Board.  But  it  seems  doubtful 
whether  the  WLB  can  cope  with  this  sort  of  a  racket.  Legislation 
is  needed  to  prevent  the  enforcement  of  mononolies  that  destroy 
trade  and  encroach  unon  Government  regulation,  whether  those  mon¬ 
opolies  are  operated  by  business  or  labor  groups.  Congress  has  been 
incredibly  slow  in  meeting  this  challenge.  We  do  not  see  how  even 
the  comic-opera  atmosphere  surrounding  Mr.  Petrillo's  antics  can 
longer  stay  the  hand  of  Congress  in  meeting  this  menace  to  free 
enterprise.  “ 


xxxxxxxx 


SAYS  FLY  WEInTT  HAYWIRE  ON  MONOPOLY  CHARGES 


Expressing  the  opinion  that  James  L.  Fly,  Chairman  of  the 
Federal  Communications  Commission  overshot  the  mark  in  accusing  the 
Cox  Congressional  Committee  and  ranking  military  leaders  of  playing 
into  the  hands  of  Wall  Street  and  the  “radio  monopoly”,  the  Washing¬ 
ton  Evening  Star,  owners  of  Blue  network  Station  WAL,  says: 

“Had  Chairman  Fly  of  the  Federal  Communications  Commission 
chosen  to  issue  a  factual  statement  protesting  against  the  designa¬ 
tion  of  Representative  Cox  of  Georgia  to  serve  as  Chairman  of  a 
House  Committee  investigating  the  FCC,  there  would  have  been  a  very 
considerable  body  of  public  opinion  to  support  his  position. 

“On  the  known  facts  of  this  case,  it  seems  clear  that  the 
selection  of  Mr.  Cox  to  head  this  investigating  committee  was  an 
unfortunate  one,  since  Mr.  Cox  is  an  avowed  antagonist  of  the  Commis¬ 
sion  and  all  its  works.  Some  time  ago  the  FCC  filed  a  complaint 
with  the  Department  of  Justice,  alleging  that  Mr.  Cox,  in  violation 
of  law,  had  accepted  a  fee  for  representing  a  radio  station  before 
the  Commission.  Mr.  Cox  denied  that  there  had  been  any  law  viola¬ 
tion,  and  the  Department  of  Justice,  after  an  investigation,  conclud¬ 
ed  that  there  was  insufficient  evidence  to  warrant  a  prosecution. 

“In  these  circumstances,  even  though  the  Justice  Depart¬ 
ment’s  decision  be  viewed  as  an  exoneration,  it  is  regrettable  that 
the  investigation  of  the  FCC  should  have  been  turned  over  to  a  com¬ 
mittee  headed  by  Mr,  Cox.  ” 

xxxxxxxxxx 


WHEELER  ASSURES  GOOD  FCC  GOING  OVER  IN  FALL 


As  a  direct  result  of  Senator  Taft's  blast  at  the  Federal 
Communications  Commission,  Chairman  Burton  K.  Wheeler  (D),  of 
Montana,  of  the  Senate  Interstate  Commerce  Committee,  reassured 
inquirers  tha,t  the  FCC  inquiry  in  connection  with  the  White-Wheeler 
bill  to  redefine  the  powers  of  the  Commission  would  be  taken  up 


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7/9/43 


immediately  after  the  Congressional  recess  two  months  hence  and 
would  be  thorough. 

Senator  Wheeler  said  he  is  in  accord  with  a  proposal  by 
Senator  Taft  (r),  of  Ohio,  that  Congress  -  and  not  the  FCC  ~  write 
the  specifications  for  Government  restraints  on  radio. 

He  made  it  clear,  however,  that  he  did  not  agree  fully 
with  Senator  Taft's  contention  in  the  Senate  that  FCC  regulations 
point  toward  ultimate  "destruction”  of  the  radio  networks  and  the 
limitation  of  their  freedom  of  expression, 

”l  am  in  favor  of  free  speech",  Senator  Wheeler  told  an 
interviewed,  "but  I  don't  want  that  freedom  to  be  regulation  by  a 
couple  of  chains  that  are  owned  and  controlled  by  large  financial 
interests  in  New  York  which  have  been  guilty  in  the  past  of  filling 
the  air  with  propaganda  on  foreign  policies  with  which  they  agree. " 

xxxxxxxx 


SENATE  ADJOURNS  WITHOUT  HEARING  FURTHER  ABOUT  PAYNE 


The  Senate  adjourned  for  its  Summer  recess  without  hearing 
anything  further  regarding  the  nomination  of  George  Henry  Payne, 
Republican,  to  the  Federal  Communications  Commission,  which  was 
withdrawn  by  President  Roosevelt  24  hours  after  it  had  been  sent  to 
the  Senate.  There  were  several  versions  of  why  the  President  might 
have  changed  his  mind.  One  was  that  Speaker  Sam  Rayburn  and  Demo¬ 
cratic  Leader  John  McCormack  had  suggested  to  Mr.  Roosevelt  that  it 
was  a  slap  in  the  face  to  the  Cox  Committee  to  send  up  the  re nomina¬ 
tion  of  Mr,  Payne  as  a  member  of  the  Commission  while  the  investiga¬ 
tion  was  still  going  on.  Another  was  that  Mr.  Payne  was  anti- 
Seraetic,  which  Payne  answered  by  pointing  to  the  fact  that  he  had 
had  a  Jewish  secretary  for  the  past  nine  years. 

Still  another  reason  was  that  Mr.  Payne  had  sided  with 
the  Dies  Committee  in  voting  to  oust  FCC  employees  Dodd  and  Watson. 

Mr,  Fly  told  a  press  conference  this  week  he  had  not  recom¬ 
mended  the  canceling  of  the  nomination,  although  he  did  visit  the 
White  House  Thursday  morning.  It  was  an  "off-the-record"  visit,  he 
said. 


"I  did  not  know  that  day  why  the  nomination  had  been  with¬ 
drawn.  I  have  since  learned  something  about  it.  I  do  not  undertake 
to  assign  any  reasons  for  the  withdrawal  of  the  name.  I  know  I  do 
not  know  the  reasons.  I  knew  nothing  about  it  until  I  arrived  at 
the  White  House  that  morning  and  the  action  had  been  taken. " 

Chairman  Fly,  answering  a  question,  said  that  it  was 
hardly  appropriate  to  say  much  about  it,  but  added  that  it  was  a 
matter  of  public  record  that  Payne  had  voted  "with  me  and  a 
majority  here  consecutively,  and  he  had  supported  most  of  the  pol¬ 
icies  I  had  supported.  " 


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When  Mr.  Payne  himself  was  asked  today  (Friday)  if  he 
could  aid  in  clearing  up  the  mustery,  he  said! 

don't  know  a  thing  -  honestly  I  don't  -  I  am  just  as 
much  in  the  dark  as  you  are,  " 

XXXXXXXX 

PRESIDENT  SEEN  BACKING  COX- FLY  SLUGFEST 


Seasoned  observers  expressed  the  opinion  that  Chairman 
James  L.  Fly  of  the  Federal  Communications  Commission  would  have 
been  the  last  man  in  the  world  to  strike  back  at  Representative  Cox 
as  he  has  done  three  times  since  the  Capitol  Hill  FCC  investiga¬ 
tion  began  if  he  had  not  had  the  personal  backing  of  the  President. 
It  was  argued  that  Mr.  Fly,  a  Government  career  man,  would  never 
make  such  a  mistake  as  that.  Proof  that  Mr.  Fly  was  in  close  touch 
with  the  President  was  the  former's  recent  "off-the-record”  visit 
to  the  White  House. 

Also  the  President  was  charged  with  not  allowing  the 
Array  and  Navy  officers  to  testify  last  Friday  at  the  opening  Cox 
hearing.  Furthermore  at  the  hearing  the  War  and  Navy  Depart¬ 
ments  by  direction  of  President  Roosevelt  refused  to  turn  over  to 
the  Cox  committee  certain  documents  it  had  requested  to  support 
charges  that  the  FCC  was  interfering  with  intelligence  operations 
of  the  armed  forces. 

Mr.  Fly's  latest  attack  was  not  confined  to  Mr.  Cox 
but  a  letter  addressed  to  Committee  members  in  which  he  criticized 
sharply  "the  extremity  and  unfairness"  of  procedure  followed  by  the 
Committee. 


He  cited  the  charges  against  the  FCC  made  public  last  week 
by  Eugene  Garey,  committee  counsel,  and  asked  whether  the  committee 
had  "already  concluded"  to  accept  the  charges  as  its  own  findings. 

In  a  series  of  12  questions,  to  which  he  asked  a  committee 
reply,  Mr.  Fly  asked  whether  the  Committee  authorized  nublication  of 
"those  conclusions  of  its  Wall  Street  counsel",  and  demanded  whether 
the  FCC  would  be  given  a  hearing  before  Congress  takes  its  proposed 
Summer  recess, 

Mr,  Fly  asked  whether  the  Committee's  "Wall  Street  lawyer" 
would  continue  closed  hearings  and  refuse  FCC  permission  to  obtain 
transcripts. 

In  his  final  question,  Mr,  Fly  asked  assurance  that  FCC 
attorneys  would  be  given  an  opportunity  to  cross-examine  witnesses 
to  guard  against  "falsehood  and  distortion", 

Mr,  Fly  was  asked  who  gave  the  FCC  Investigating  Committee 
the  letters  it  made  oublic  last  week.  Including  one  by  Admiral 
William  D.  Leahy,  Chief  of  Staff  to  the  Commander  in  Chief. 

"I  have  an  idea",  said  Mr.  Fly,  but  I  do  not  think  it  is 
a  question  on  which  we  ought  to  make  any  statement,  " 

XXXXXXXX  -8- 


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7/9/43 


DAVIS  IN  ECLIPSE  AS  PUBLISHERS  AID  IN  REVAI.^PINC  OWI 


With  Elmer  Davis  still  undecided  as  to  whether  or  not  he 
will  resign  an  Advisory  Committee  of  nine  of  the  most  prominent 
publishers  and  broadcasters  in  the  country  have  volunteered  to  serve 
as  an  Advisory  Committee  in  trying  to  help  Palmer  Hoyt,  a  Republican, 
West  Coast  publisher  and  broadcaster,  put  the  2i  million  dollars  to 
the  best  possible  use  and  if  possible  save  at  least  the  face  of  the 
Domestic  Branch  of  OWI, 

Mr.  Hoyt  said  he  will  also  meet  with  various  heads  of 
newspapers,  magazines,  and  radio  stations  in  the  next  10  days  to 
discuss  OWI’s  problems. 

The  Committee,  which  will  have  its  first  meeting  July  13, 
consists  of  Roy  A.  Roberts,  Managing  Editor,  Kansas  City  Star; 
Lawrence  L.  Wlnship,  Managing  Editor,  Boston  Globe;  G-eorge  W. 

Healy,  Jr.,  Managing  Editor,  New  Orleans  Times-Picayune ;  Paul 
Bellamy,  editor,  Cleveland  Plain  Dealer:  Mark  Ethridge,  Editor  and 
Publisher,  Louisville  Courier^ Journal;  Gardner  Cowles,  Jr,,  Editor 
and  Publisher,  Des  Moines  Register  and  Tribune;  Fred  Gaetner,  Jr,, 
Managing  Editor,  Detroit  News;  Wilbur  Forrest,  Editor,  New  York 
Herald  Tribune,  and  H,  D.  Paulson,  Editor,  Fargo  Forum. 

Mr.  Hoyt  was  quoted  as  saying  that  2i  million  was  "a 
pretty  small  amount  to  operate  a  war  agency"  but  Representative 
Taber  ( R) ,  of  New  York  felt  differently  saying: 

"The  $2,750,000,  in  my  opinion,  is  too  much.  On  the  other 
hand,  we  have  got  to  get  to  a  compromise  on  things  if  we  are  going 
to  get  legislation.  We  have  eliminated  entirely  all  propaganda  in 
the  United  States,  There  are  some  sections  in  the  OWI  that,  in  my 
opinion,  could  be  eliminated  or  cut  down  very  materially.  It  will 
be  up  to  Mr,  Joyt,  the  new  Director  of  the  Domestic  Branch,  to 
coordinate  this  situation  and  clean  it  up,  I  believe  that  our  com¬ 
promise  has  had  to  be  made  not  on  the  basis  of  needs  but  on  the 
basis  of  providing  some  Jobs  for  some  of  those  fellows  who  are  in 
there.  I  hope  that  Mr,  Hoyt,  the  new  Director,  will  take  that  into 
consideration  when  it  comes  to  cleaning  that  situation  up  and  that 
he  will  eliminate  those  who  are  absolutely  worthless  and  get  rid  of 
them.  That  is  what  he  has  to  do  if  he  is  going  to  make  a  success 
of  it,  there  is  no  other  way,  I  have  yielded  on  this  $2,750,000 
largely  as  a  result  of  the  Iraportunlngs  of  the  gentleman  from 
Indiana,  who  has  been  a  great  compromiser,  but  I  still  think  it  is 
up  to  Mr,  Hoyt  to  save  at  least  a  million  and  a  half  out  of  that 
$2,750,000  if  he  cleans  the  thing  up  and  gets  rid  of  the  unnecessary 
help,  as  I  believe  he  should. " 

XXXXXXXX 

Dean  Studios,  Omaha,  Nebraska,  are  charged  in  a  complaint 
issued  by  the  Federal  Trade  Commission  with  misrepresenting  the 
quality,  price  and  terras  of  sale  of  the  colored  photographic  en¬ 
largements  and  frames  they  sell  via  newspaper,  periodical  and  radio 
adve rtising, 

XXXXXXXXX 

-  9  - 


7/9/43 


FCC  EMPLOYEE  BILL  TYING  UP  THOUSANDS  PAY  UNSIGNED 


The  143-milllon  dollar  Urgency  Deficiency  Bill  carrying 
two  controversial  amendments,  one  providing  for  the  removal  of 
Dr.  Goodwin  Watson  and  William  Dodd,  Jr.,  of  the  Federal  Communica¬ 
tions  Commission,  and  Dr,  Robert  Lovett  of  the  Virgin  Islands,  and 
the  other  providing  for  limitation  of  the  President’s  Emergency  Rind 
remained  unsigned  as  Congress  kissed  Washington  good-bye.  Presi¬ 
dent  Roosevelt  said  at  his  press  conference  this  morning  (Frida.y) 
that  the  bill  had  not  yet  reached  his  desk. 

Hereafter,  these  White  House  conferences  are  to  be  known 
as  "Press  and  Radio  Conferences"  due  to  the  fact  that  the  broad¬ 
casting  industry  is  now  represented  at  these  gatherings, 

xxxxxxxx 


LOWELL  MELLETT  RESIGNS  AS  OWI  MOVIE  CHIEF 


Elmer  Davis,  Director  of  the  Office  of  War  Information, 
today  announced  that  Lowell  Mellett  has  resigned  as  Chief  of  the 
Motion  Picture  Bureau,  Domestic  Branch. 

Mr.  Mellett *s  resignation,  effective  July  15,  was  due  to 
budget  reductions  made  by  Congress  in  appropriations  for  the 
Dome st ion  Motion  Picture  activities  of  OWI^  which  virtually  elim¬ 
inated  all  of  the  activities  of  the  Bureau  as  presently  constituted. 

As  to  future  OWI  activities  in  the  Motion  Picture  field, 
Elmer  Davis  stated: 

"Our  funds  will  not  permit  any  production  of  motion  pic¬ 
tures  by  OWI  for  domestic  use.  We  will,  however,  continue  to  dis¬ 
charge  our  responsibility  for  the  coordination  of  Government  films 
and  for  liaison  between  the  Government  and  the  motion  picture 
Industry. 

"We  are  indebted  to  Mr.  Mellett  for  the  establishment  of 
cordial  and  satisfactory  relations  with  the  industry,  which  we  hope 
may  continue. 

"Within  a  week  or  10  days  Palmer  Hoyt,  Director  of  Domest¬ 
ic  Operations,  and  I  hope  to  sit  down  with  the  heads  of  the  motion 
picture  companies  and  discuss  plans  for  our  continued  cooperation.  " 

XXXXXXXX 

FCC  TO  PROBE  CHARGES  ON  RADIO,  WIRE  PICTURES 

The  Federal  Communications  Commission  has  ordered  an 
investigation  into  the  legality  of  charges  for  interstate  and 
foreign  transmission  of  photographs  by  wire  and  radio.  A  hearing 
was  set  for  August  11,  and  each  carrier  furnishing  such  service  was 
made  a  party  to  the  proceeding. 


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7/9/43 


The  Commission  said  that  it  would  serve  a  copy  of  the 
order  on  the  Office  of  War  Information. 

At  the  same  time,  the  Commission  denied  the  request  of 
Press  Wireless,  Inc, ,  for  special  temporary  authority  to  provide 
radiophoto  service  between  New  York  and  Berne,  Switzerland,  to  com¬ 
mercial  users.  It  also  suspended  until  October  new  rates  filed  by 
Press  Wireless  which  would  revise  the  tariff  schedules  for  radio¬ 
photo  reception  service  furnished  at  New  York  and  Los  Angeles  by 
putting  the  charges  on  a  time  basis.  A  hearing  on  the  lawfulness  of 
the  proposed  new  tariffs  was  ordered. 

XXXXXXXX 


CALLS  GARDNER  COWLES  ONE  OF  OWI'S  "FORCES  OF  SANITY" 


There  have  been  quite  a  few  tributes  to  Gardner  Cowles,  Jr. 
the  latest  being  from  Representative  Halle ck  (r),  of  Indiana,  who 
said,  addressing  Congress: 

"In  connection  with  the  effort  to  terminate  the  domestic 
activities  of  OWI,  it  is  consistent  to  make  it  a  matter  of  record 
that  this  bipartisan  move  has  no  connection  with  the  resignation  of 
Gardner  Cowles,  Jr.,  of  Iowa,  as  Director  of  the  Domestic  Bureau. 

Mr.  Cowles  agreed  to  stay  until  June  1943,  and  no  longer,  when  he 
was  drafted  by  the  President  personally  1  year  ago.  His  resigna¬ 
tion  and  the  selection  of  Palmer  Hoyt,  of  Oregon,  as  his  successor 
were  announced  before  the  OWI  appropriation  came  out  of  committee, 

"During  his  year  here  Mr,  Cobles  was  one  of  the  forces 
for  sanity  in  OWI,  Members  will  recall  that  he  was  opposed  to  the 
radical  pamphleteers  in  OWI,  They  fought  him  back,  but  it  is  of 
lasting  credit  to  Mr.  Cowles  that  he  succeeded  in  divorcing  a  dozen 
or  more  of  them  from  the  OWI  payroll.  Perhaps  a  check-up  would 
reveal  that  they  were  Immediately  hired  by  some  other  New  Deal 
agency,  for  that  seems  to  be  the  procedure  when  any  reforms  in  per¬ 
sonnel  in  any  given  bureau  are  accomplished.  Our  war  effort  would 
be  speeded  up  if  men  like  Gardner  Cowles,  Jr.,  were  held  here  and 
given  more  authority  to  do  a  Job.  " 

Drew  Pearson  had  this  to  say  about  Mr.  Cowles: 

"Gardner  Cowles,  who  kept  denying  he  would  resign  from 
OWI  and  help  Willkie's  campaign,  finally  is  willing  to  admit  it. 
After  a  holiday  in  the  Minnesota  lake  country,  he  will  become  brain 
truster  for  Wendell  Wlllkie  .  ,  Cowles  makes  three  predictions  about 
the  1944  campaign  ...  If  Willkie  can  get  the  Republican  nomination 
without  splitting  the  party,  he  will  be  the  next  President,  .  ,  The 
Republican  strategy  will  be  to  wage  the  campaign  on  domestic  Issues, 
avoiding  international  question.  .  ,  The  food  shortage  will  be  a 
leading  political  issue  in  the  coming  campaign. " 

XXXXXXXX 


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Heinl  Radio  Business  Letter 

2400  CALIFORNIA  STREET  WASHINGTON,  D.  C. 


NATIONAL  BROABCASTiNG  COMPANY,  INC. 

GENERAL  LIBRARY^ 

30  ROCKEFELLER  PL>ZA,'  NEW  YORK,  N,  Y, 


INDEX  TO  ISSUE  OF  JULY  13,  1943 


Hooper  Charges  Revive  Story  Fly  Had  Admiral  Retired . . . 1 

Congressional  Spanicing  For  Petrillo  If  WLB  Fails? . 2 

Bowes'  Amateur  Brings  Down  House  Imitating  First  Lady . 3 

Fly  Says  He  Gives  Up  Hope  Of  Fair  Probe  By  Rep,  Cox,,... . 4 


Allied  Broadcasts  Wage  War  On  Sicilian  Nerves . 

Estate  Of  Television  Pioneer  Jenkins'  Widow  $260,000 

FDR  Finally  Signs  "Subversive”  FGC  Employee  Bill.... 
Points  To  Honesty  Of  Radio  And  Press  Advertising,... 

"Microphone  Hypnosis"  Appraised  By  "Life" . 

Patents  Ultra  Short-Wave  Generator . 

Army  Curbs  Overseas  Voice  Disks . 

Increase  In  Radio  Ownership  In  Switzerland . 

Doesn’t  Favor  FCC  Dictating  Stations'  Business  Terms 


Trade  Note  s . . . 9 

Loyd  Briggs  New  R,C.A.  Communications  V-P  And  Gen.  Supt . 11 

Sylvanla  To  Have  New  International  Division . 11 


No.  1544 


03  CD  OD  -O -a  Oi  Oi  CP  CJi 


July  13,  1943 


HOOPER  CHARGES  REVIVE  STORY  FLY  HAD  AmiRAL  RETIRED 


The  bitter  reply  of  Chairman  James  L.  Fly  to  the  criticism 
of  him  by  Rear  Admiral  S,  C.  Hooper,  U.S.N.  ,  Retired,  revealed  by  the 
Cox  FCC  Investigating  Committee,  revived  the  old  story  that  Mr.  Fly 
was  instrumental  in  having  Admiral  Hooper  retired.  Also  that  the 
feeling  had  become  so  bitter  between  the  two  men  that  when  the 
Admiral  called  on  Fly  socially,  the  latter  never  returned  the  call. 

At  any  rate  the  Cox-Hooper- Fly  Joust  bares  another 
Administration  squabble  which  can't  be  pleasing  to  the  country  at 
large.  Admiral  Hooper  charged  Mr.  Fly,  among  other  things,  of  pre¬ 
war  opposition  to  wire-tapping  and  to  banning  Japanese  broadcasts  in 
Hawaii,  which  might  have  prevented  the  Pearl  Harbor  disaster.  Also 
that  the  FCC  Chairman  devoted  too  much  time  to  trust-busting  instead 
of  tending  to  his  other  duties.  Mr.  Fly  retorted  to  the  Cox  Com¬ 
mittee  which  sprang  the  Hooper  accusations  that  "If  such  a  committee 
can  be  depended  on  to  give  us  an  opportunity,  we  will  prove  each  of 
the  Hooper  charges  false.  " 

In  its  leading  editorial  Monday  morning,  the  Washington 
Post,  which  has  consistently  denounced  Representative  Cox,  said; 

"The  Army  and  the  Navy  have  made  it  clear  that  they  do  not 
intend  to  take  part  in  Representative  Eugene  Cox's  smear  campaign 
against  the  Federal  Communications  Commission.  The  Cox  Committee 
resurrected  a  denunciation  of  the  FCC,  prepared  more  than  a  year  ago 
by  Rear  Admiral  Hooper  (retired),  and  published  it  with  great  fan¬ 
fare  as  representing  an  officlai  Navy  view.  It  also  dug  up  some 
notes  on  the  Hooper  document,  written  by  an  Array  officer,  and  des¬ 
cribed  them  as  'corroborative'.  But  the  Navy  Department  has  now 
declared  succinctly  that  the  Hooper  memorandum  'was  not  an  official 
statement  by  the  Navy  and  expressed  the  personal  views  of  Admiral 
Hooper'.  The  Army  said;  'The  notes  do  not  express  the  view  of  the 
War  Department,  but  merely  this  officer's  own  comment,' 

"The  incident  affords  Insiglit  into  the  ethical  level  upon 
which  the  Cox  Committee  Inquiry  is  being  conducted.  But  it  should 
occasion  no  surprise.  For  nothing  better  than  this  can  be  expected 
of  a  Congressman  whose  ethical  values  permit  him  to  head  an  investi¬ 
gation  of  an  agency  in  the  defamation  of  which  he  has  a  direct  per¬ 
sonal  interest.  The  FCC  long  ago  presented  to  the  Department  of 
Justice  evidence  showing  tha.t  Congressman  Cox  had  accepted  a  $2500 
fee  for  representing  a  Georgia  radio  station  in  proceedings  before 
the  Commission, 


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.Xi-.j  Siii 


7/13/43 


'•It  Is  apparent  that  Congressman  Cox  Is  now  using  his 
legislative  office  to  implement  his  personal  vindictiveness  against 
the  FCC,  This  affront  to  elementary  principles  of  Justice  is  made 
possible  by  the  callousness  of  his  own  colleagues  in  the  House  of 
Representatives  and  by  the  pusillanimity  of  the  Attorney  General  of 
the  United  States.  It  rests  upon  members  of  the  House  to  remove 
Eugene  Cox  from  the  investigative  post  which  he  has  so  flagrantly 
abused.  They  now  have  a  chance  to*  do  so  as  a  result  of  his  appeal 
to  the  House  for  fresh  Instructions.  It  rests  upon  the  Attorney 
General,  likewise,  to  present  to  a  grand  Jury  the  evidence  now  in 
his  possession  that  Cox  has  violated  Section  113  of  the  Criminal 
Code  by  acting  on  behalf  of  a  private  client  before  a  Government 
agency  while  he  was  a  member  of  the  national  legislature. 

"Until  the  House  or  the  Attorney  General  can  be  roused  to 
a  sense  of  responsibility,  the  Cox  investigative  farce  may  be  expect¬ 
ed  to  continue.  But  its  long-term  effects  may  not  be  so  laughable 
as  tnis  latest  bombshell  which  exploded  in  Cox’s  face.  For  they  will 
cast  a  shadow  upon  the  whole  system  of  congressional  inquiry  and  upon 
the  integrity  of  the  American  Judicial  process, " 

XXXXXXXX 


CONGRESSIONAL  SPANKING  FOR  PETRILLO  IF  WLB  FAILS? 


The  War  Labor  Board  round  in  the  Capital  of  the  transcrip¬ 
tion  fight  last  Friday  was  clearly  ITr,  Petrlllo's.  If  the  Labor 
Board,  which  now  has  the  matter  under  advisement  isn't  able  to  curb 
him,  the  next  move  will  be  Congressional  action  -  the  transcription 
people  hope. 

Senator  Clark  ( D) ,  of  Idaho,  has  had  his  eye  on  Petrillo 
for  a  long  time  and  even  had  him  down  to  Washington  for  a  well 
remembered  going  over  some  little  time  ago.  The  Idaho  Senator,  how¬ 
ever,  laid  off  to  give  the  music  czar  and  the  record  manufacturers 
a  chance  to  get  together  without  his  assistance. 

Senator  Tunnell  ( D) ,  of  Delaware,  only  last  week  intro¬ 
duced  a  bill  which  would  prevent  any  such  strike  or  boycott  as 
Petrlllo’s,  This  might  be  considered  in  the  Fall  if  the  WLB  failed 
to  act.  The  wording  of  the  Tunnell  bill  is: 

"That  from  and  after  the  date  of  enactment  of  this  Act, 
it  shall  be  unlawful  for  any  person,  for  the  purpose  of  preventing 
the  manufacture  or  production  of  records  for  radio  transcription, 
whether  made  of  wood,  wax,  metal,  or  any  other  material,  to  counsel, 
persuade,  direct,  induce,  threaten  or  compel  either  singly  or  through 
conspiracies  any  employee  or  employees  or  prospective  employee  or 
employees  from  working  to  produce  or  manufacture  such  records  for 
transcription.  Further,  it  shall  be  unlawful  for  any  person  to 
threaten  or  compel  radio-broadcasting  stations  or  other  broadcasters 
to  refrain  from  the  use  of  radio-transcription  records  because  of 
objection  to  the  manner  in  which  such  records  were  manufactured  or 

-  2  - 


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7/13/43 


produced,  or  because  the  same  were  not  produced  by  particular  per¬ 
sons  or  organizations,  ” 

Also  there  comes  a  reminder  from  Representative  Hoffman  (R) 
of  Michigan,  that  he  Introduced  a  bill  (H.  R,  7441)  a  year  or  so  ago 
which  evidently  he  now  has  some  hope  of  reviving.  It  would  make 
punishable  any  attempt  to  directly  or  indirectly  Interfere  in  any 
way  with  any  musical  or  other  radio  program. 

Assurances  were  given  that  a  decision  might  be  forthcoming 
from  the  WLB  very  shortly.  It  can  accept  Jurisdiction  and  order 
further  hearings  to  determine  the  merits;  it  can  refuse  Jurisdiction, 
or  it  can  immediately  order  Mr,  Petrlllo  to  allow  the  musicians  to 
resume  the  making  of  transcriptions, 

XXXXXXXXXX 


BOWES'  AliATEUR  BRINGS  DOWN  HOUSE  IMITATING  FIRST  LADY 


A  young  soldier  on  Major  Bowes'  amateur  hour  last  Thursday 
night  struck  a  Jack-pot  with  an  Imitation  of  Mrs,  Franklin  D. 
Roosevelt,  The  applause  which  followed  almost  blasted  the  microphone 
It  was  supposed  to  be  the  First  Lady  of  the  Land  addressing  the  Girl 
Scouts  of  Peoria  and  Frank  Kent  or  Westbrook  Pegler  should  try  to 
get  a  copy  of  the  script. 

Major  Bowes  introduced  the  soldier  as  a  nephew  of  Frank 
Crowninshield,  famous  editor  and  said  Mr.  Crowlnshield  was  in  the 
audience.  If  he  was,  he  must  have  had  the  time  of  his  life  because 
the  boy  was  good. 

Among  those  he  took  for  a  ride  were  Noel  Coward,  Monte 
Woolley,  and  Katherine  Hepburn.  One  might  have  thought  when  he 
undertook  to  do  Churchill  that  would  have  been  enough  for  anyone  to 
get  away  with  in  a  Bowes  spot.  However,  his  best  was  yet  to  come. 

At  the  mere  announcement  by  Major  Bowes  that  it  was  to  be  Mrs, 
Roosevelt,  a  gale  of  laughter  swept  over  the  house  and  by  the  time 
the  boy  had  finished  his  imitation,  he  had  them  rolling  in  'the  aisles 
Nobody  on  a  Major  Bowes  program  ever  made  a  bigger  hit  than  this 
young  soldier.  Such  a  hit,  in  fact,  that  the  radio  bureau  of  the 
Republican  National  Committee  should  lose  no  time  signing  him  up  - 
that  is  if  the  Administration  doesn't  have  him  court-martialed  or 
Chairman  Fly  doesn't  hear  about  it, 

XXXXXXXXXX 


~  3  - 


7/13/43 


FLY  SAYS  HE  GIVES  UP  HOPE  OF  FAIR  PROBE  BY  REP.  COX 


Chairman  James  L.  Fly  said  Monday  that  the  Cox  Committee 
on  the  Hill,  investigating  the  FCC,  had  already  done  its  worst  and 
that  he  had  given  up  all  hope  of  a  fair  investigation.  In  the  mean¬ 
time,  the  President  having  thrown  a  monkey-wrench  into  the  proceed¬ 
ings  by  refusing  to  allow  the  naval  and  military  officers  to  testify 
plus  the  desire  of  Committee  members  to  take  a  little  vacation,  the 
hearings  seem  to  be  stalled  for  the  time  being.  At  the  office  of 
Chairman  Cox,  it  was  said  that  there  would  not  be  another  meeting 
for  at  least  two  weeks.  Chairman  Cox  himself  said  there  was  a 
possibility  of  assembling  around  July  19.  There  were  skeptics  who 
believed  the  Committee  would  not  really  get  down  to  business  again 
until  Congress  reconvened  in  early  Fall. 

Committee  Counsel  Eugene  L.  Garey  made  it  known  Monday 
night  that  the  Committee  believed  that  he  believed  Chairman  Fly 
could  be  hauled  up  for  contempt  for  refusal  to  answer  questions  and 
for  the  latter’s  part  in  gumming  the  works. 

Mr,  Fly  said  that  the  most  startling  questions  that  could 
be  put  had  already  been  published  as  the  conclusions  of  the  Committee. 

”A  hearing  for  me  to  disprove  the  charges  would  be  too 
antl-climatlc  to  interest  the  Committee”,  the  Chairman  declared, 
characterizing  the  committee’s  actions  as  a  cheap  and  irresponsible 
bid  for  publicity  and  that  the  investigation  was  punitive  and  ir¬ 
responsible  in  its  origin. 

”Everybody  must  be  shocked  by  the  conduct  and  methods  and 
proccesses  of  the  Committee”,  he  said.  "At  the  same  time,  don’t 
see  how  any  of  us  could  assert  we  were  surprised. 

"I  think  I  ought  to  stress  we  must  all  appreciate  the 
tremendous  Importance  of  Congress  as  an  investiga.tive  force.  We 
certainly  must  stand  ready  to  cooperate  with  the  Congress  at  all 
times,  in  any  responsible  effort  to  exercise  that  important  function.” 

Mr,  Fly  said  that  "I  should  think  the  delegated  representa¬ 
tives  of  Congress  should  not  do  anything  to  impair  the  investigating 
function",  but  that  at  all  times  "it  should  be  responsible  in  its 
purposes  and  fair  in  conduct”. 

Hd  did  not  answer  the  question  about  whether  the  President 
acted  on  Fly’s  advice  in  ordering  the  Government  witnesses  not  to 
testify  on  the  proposal  to  transfer  intelligence  functions  from  the 
FCC  to  the  military,  as  being  against  the  "public  Interest”, 

XXXXXXXXX 


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ALLIED  BROADCASTS  WAOE  WAR  ON  SICILIAN  NERVES 


The  Allied  invasion  of  Sicily  was  preceded  by  the  dropping 
of  millions  of  pamphlets  and  beaming  of  special  broadcasts  designed 
to  break  the  morale  of  the  people.  Office  of  War  Information  officials 
have  disclosed. 

First  pamphlets  dropped,  it  was  understood,  were  directed 
largely  to  the  civilian  population  of  the  invaded  isle.  The  next 
step,  it  was  understood,  will  be  release  of  new  pamphlets  urging 
enemy  soldiers  to  surrender  and  pointing  out  that  the  pamphlets 
represent  a  safe-conduct  pass, 

A  force  of  OWI  representatives  accorananied  the  invading 
armies  and,  according  to  officials,  will  work  closely  with  the  mil¬ 
itary  officials  in  future  steps  in  psychological  warfare  maneuvers. 

First  public  word  of  the  invasion,  officials  said,  came 
through  the  transmitters  of  the  OWl^s  short-wave  station  at  Algiers 
which  was  set  up  about  a  month  ago.  It  is  Station  UNR  (United 
Nations  Badlo)  and  its  theme  song  is  ”Over  There”, 

The  broadcast,  carrying  the  announcement  of  Gen,  Dwight  D. 
Eisenhower,  was  monitored  into  the  War  Department  at  approximately 
12; 05  A. M.  Saturday, 


XXXXXXXXXX 

ESTATE  OF  TELEVISION  PIONEER  JENKINS*  WIDOW  S260,000 


Mrs.  Grace  L,  Jenkins,  who  died  in  Washington  in  June  at 
the  age  of  61,  left  an  estate  of  nearly  $260,000,  which  will  be 
divided  between  surviving  members  of  her  own  and  her  husband’s  family, 
according  to  a  petition  for  probate  filed  in  District  Court, 

Mrs.  Jenkins,  the  widow  of  Dr.  C.  Francis  Jenkins,  a  pion¬ 
eer  in  the  television  field,  resided  in  the  Capital  for  many  years. 

Real  estate  bequeathed  by  Mrs.  Jenkins  and  located  at 
5502  Sixteenth  Street,  Northwest,  was  valued  at  $18,000  and  personal 
property  at  $241,854, 


XXXXXXXX 


War  developments  undoubtedly  will  bring  improvement  in 
broadcast  transmitters,  but  General  Electric  engineers  see  no 
radical  changes  that  will  prematurely  obsolete  present  equipment, 
according  to  Paul  L.  Chamberlain  of  the  coranany’s  Electronics  Depart¬ 
ment.  "We  expect  television  broadcasting  to  develop  rapidly  after 
the  war,  along  with  FM  radio  broadcasting.  Manufacturing  experience 
gained  in  the  production  of  electronic  equipment  for  war  will  un¬ 
doubtedly  resuit  in  lower-priced  television  receivers  after  the  war 
and  this,  plus  public  demand,  should  accelerate  the  exoansion  of 
television  service”,  he  predicts, 

XXXXXXXX 


-  5  - 


.  T  T  TA 

.V  -w*  V.  »  -  >. 


f/A 


7/13/43 


FDR  FINALLY  SIGNS  "SUBVERSIVE”  FCC  EMPLOYEE  BILL 


Without  comment  but  waiting  10  days  to  do  so,  notwith¬ 
standing  the  fact  that  It  delayed  the  pay  of  thousands  of  employees, 
President  Roosevelt  finally  signed  the  ^148,000,000  Urgent  Deficiency 
Bill  Monday,  The  Inference  was  drawn  that  the  President  took  this 
way  of  showing  his  displeasure  in  the  fact  that  the  bill  prohibited 
him  from  drawing  from  this  special  fund  to  finance  non-war  projects 
for  which  appropriations  have  been  requested  of  Congress  and  denied. 
Also  it  was  said  the  rider  on  the  bill  was  offensive  to  him  that 
provides  that  Dr,  Robert  Morss  Lovett,  Government  secretary  to  the 
Virgin  Islands,  Goodwin  B,  Watson  and  William  E.  Dodd,  Jr.,  both  of 
the  Federal  Communications  Commission,  go  off  the  Federal  payroll 
forever  on  November  15,  unless  appointed  by  the  President  and  con¬ 
firmed  by  the  Senate. 

The  Kerr  subcommittee,  which  brought  the  rider  before  the 
House,  announced  Just  before  recess  that  it  would  not  continue  its 
examination  of  Federal  workers,  charged  by  the  Dies  Committee  on 
Un-American  Activities  with  subversive  tendencies,  until  November  15. 

The  so-called  subversive  rider  was  five  times  rejected  by 
the  Senate  before  the  upper  house  bowed  to  the  will  of  a  tremendous 
majority  in  the  lower  chamber. 

xxxxxxxx 


POINTS  TO  HONESTY  OF  RADIO  AND  PRESS  ADVERTISING 


The  teapot  tempest  before  the  Boren-Halleck  House  Committee 
over  compulsory  grade  labelling  has  subsided,  for  the  moment  at 
least,  with  the  resignation  of  Dr.  J.  K.  Galbraith  from  the  Office 
of  Price  Administration. 

"With  the  moral  support  of  Mrs,  Roosevelt,  Dr,  Galbraith 
has  been  waging  a  battle  for  this  radical  change  in  American  busi¬ 
ness  practice  -  a  change  which  manufacturers  and  advertising  experts 
believe  would  destroy  millions  of  dollars  of  value  in  established 
brand  names,  lower  the  standards  of  merchandise,  and  eventually  give 
the  consumer  less  for  her  money  than  she  buys  today”,  says  the 
Editor  and  Publisher. 

"If  cheating  of  the  consumer  through  advertising  was  a  com¬ 
mon  fault  of  American  business.  Editor  &  Publisher  would  be  quick  to 
endorse  any  sound  plan  for  correction  of  that  abuse.  All  the  evi¬ 
dence,  however,  is  against  the  theory  that  the  consumer  loses  because 
advertising  and  packages  do  not  carry  full  specifications  of  the  pro¬ 
duct.  The  Federal  Trade  Commission  three  years  ago  issued  a  report 
of  its  examination  of  875,483  advertisements  -  newspaper,  radio,  and 
direct  mail.  In  only  836  instances,  or  3-1000  of  1  per  cent  of  the 
original  total,  was  formal  action  by  the  Commission  required  in  the 
public  interest.  If  all  other  activities  of  business  -  or  of  govern¬ 
ment,  for  that  matter  -  measured  up  to  this  level  of  honesty,  the 
American  public  would  be  fortunate,  indeed.  ” 

XXXXXXXXX 


-  6 


7/13/43 


“MICROPHONE  HYPNOSIS”  APPRAISED  BY  “LIFE” 


••Life”  of  June  7th,  with  two  pages  of  pictures  on  the 
subject,  has  this  to  say  of  the  “high-speed  Radio  Svengall,  who 
wants  to  dehypnotlze  Gerroany"; 

“Many  people  find  that  almost  any  radio  program  has  a 
hypnotic  effect  on  them.  Inducing  a  deep  slumberous  trance.  A 
couple  of  weeks  ago  the  Blue  Network  took  a  step  toward  carrying 
this  Involuntary  hypnosis  a  little  farther  by  helping  Dr,  Ralph 
Slater  show  that  he  could  Intentionally  hypnotize  people  over  the 
radio.  Dr,  Slater’s  main  purpose  was  to  demonstrate  his  unique 
method  of  wining  the  war, 

“Ralph  Slater  Is  a  high-speed  hypnotist  who  says  that  the 
Germans  have  been  hypnotized  into  fighting  this  war  by  Hitler’s  high- 
pitched  voice  and  microphone  technique.  As  proof,  he  has  photo¬ 
graphs  which  show  Germans  sitting  around  In  a  trance.  Slater  insists 
that  he  can  dehypnotlze  them  by  short-wave  radio, 

“To  demonstrate.  Slater  sat  some  subjects  In  a  New  York 
City  studio,  went  Into  the  control  room  where  they  could  not  see  him 
and,  by  talking  through  a  microphone,  put  them  Into  a  trance.  Then 
he  came  out  and  made  them  do  the  silly"  things  all  hypnotists  make 
their  subjects  do.  Although  the  performance  was  not  broadcast, 

Slater  said  It  showed  that  he  could  hypnotize  people  by  radio.  It 
did  not  show  anything  else.  Slater  thinks  Hitler  hypnotized  Lind¬ 
bergh  when  he  pinned  the  medal  on  the  flier  In  1938,  But  Goring 
pinned  the  medal  on,  not  Hitler.  Still  Slater  wants  to  broadcast  to 
Germany  and  would  also  like  to  put  on  a  domestic  show, “ 

XXXXXXXXX 


PATENTS  ULTRA  SHORT-WAVE  GENERATOR 


Fritz  Ludl,  of  Baden,  Switzerland,  assigned  by  mesne 
assignments  a  patent  for  an  ultra-high  frequency  generator  to 
’’Patelhold”  Patentverwertungs  &  Elektro-Holdlng  A.  G,  of  Glarus, 
Switzerland*  The  device  is  an  ultra  short-wave  generator,  which  can 
generate  an  electron  beam  In  a  partial  vacuum.  In  It  there  is  a 
modulator  to  subject  the  beam  to  high  frequency  potential  variations 
and  an  inductor  to  produce  ultra-high  frequency  alternating  voltages. 

The  use  to  which  the  device  is  designed  to  be  put  was  un¬ 
explained,  Ultra  short-wave  generators,  however,  can  be  used  In 
types  of  broadcasting,  “atom-smashing”  inductothermy  and  many  other 
uses.  Undoubtedly  this  latest  development  could  be  adapted  to  num¬ 
erous  uses.  The  device  received  patent  No.  2,323,613. 

XXXXXXXXXX 


7 


7/13/43 


ARMY  CURBS  OVERSEAS  VOICE  DISKS 


A  ban  on  shipment  of  phonograph  disks  recording  personal 
messages  to  soldiers  overseas  was  announced  last  week  by  the  War 
Department^ 

As  a  result  of  a  plan  adopted  by  several  commercial  com¬ 
panies,  the  department  said,  large  numbers  of  such  recordings 
addressed  to  soldiers  are  being  received  in  the  mails,  although 
transmittal  of  such  messages  either  to  or  from  soldiers  is  prohibit¬ 
ed  by  War  Department  regulations. 

"Strict  enforcement  of  these  regulations  is  necessary  to 
safeguard  against  the  transmitting  of  secret  military  Information 
through  this  medium",  the  department  said. 

xxxxxxxxx 


INCREASE  IN  RADIO  OWNERSHIP  IN  SWITZERLAND 


Radio-set  owners  in  Switzerland  numbered  729,231  at  the 
end  of  1942,  an  Increase  of  48,925,  or  7,2  percent,  compared  with 
1941,  The  number  of  radio  owners  has  mounted  steadily  since  1924, 
when  approximately  17,000  were  reported.  By  1927  the  total  had 
drown  to  39,000;  by  1930,  to  104,000;  and  by  1933,  to  300,000, 

Telephone  broadcasting  (wired  wireless)  was  started  in 
1932,  with  8,283  subscribers;  last  year  the  total  was  70,657, 

XXXXXXXXX 


DOESN'T  FAVOR  FCC  DICTATING  STATIONS'  BUSINESS  TERJ^S 


Referring  to  the  recent  Supreme  Court  radio  decision  in 
an  article  generally  condemning  the  New  Deal,  the  Saturday  Evening 
Post  recently  had  this  to  say; 

"If  you  are  taking  up  the  New  Deal  as  a  single  and  indiv¬ 
isible  body  of  political  doctrine,  can  you  leave  out  the  effort  to 
pack  the  Supreme  Court,  purge  senators  who  got  off  the  party  line, 
and  through  administration  of  the  Wagner  Act,  deny  to  employers  the 
right  to  ordinary  expression  of  opinion.  New  Dealers  are  not  very 
proud  of  these  episodes  at  the  moment,  perhaps  because  they  feel 
the  chill  of  a  new  mood  in  the  political  wind.  But,  if  you  insist 
that  the  New  Deal  is  all  of  a  piece,  and  that  it  must  be  accepted  or 
rejected  in  toto  like  the  Koran  or  the  Book  of  Mormon,  then  you  must 
Include  the  apocryphal  chapters  along  with  the  true  revelation, 

-  8  - 


7/13/43 


’•included  also,  possibly  at  the  top  of  the  list,  must  be 
administrative  acts  by  the  New  Dealers.  For  example,  the  Federal 
Communications  Act,  which  gives  the  Federal  Communications  Commis¬ 
sion  power  to  police  the  traffic  of  the  air  waves  and  regulate  various 
technical  radio  problems,  would  be  approved  by  most  people.  Fewer 
would  endorse  the  Commission’s  effort,  sanctioned  by  the  Supreme 
Court,  to  dictate  financial  and  contractual  relations  between  broad¬ 
casting  networks  and  individual  stations,  with  unpredictable  conse¬ 
quences  to  American  broadcasting.  But  it  is  through  such  admin¬ 
istrative  acts  as  this,  even  more  than  through  legislation,  that  the 
New  Deal  exhibits  many  of  its  aims  and  purposes. 

"As  for  us,  we  prefer  not  to  make  the  going  too  tough  for 
the  New  Deal's  defenders.  They,  to  say  nothing  of  common  sense,  will 
fare  better  if  the  legislation  passed  since  1933  is  considered  in  its 
historic  setting,  in  the  light  of  the  spirit  of  its  enforcement,  an-d 
with  recognition  of  the  fact  that  American  progress  is  no  monopoly  of 
a  group  of  professors  et  al,  hastily  assembled  to  answer  the  question: 
•What  can  we  try  next?’" 


XXXXXXXXXX 


TRADE  NOTES  : 


The  Radio  Division  of  the  Department  of  Transport,  Canada, 
sold  1,728,880  private  radio  receiving  licenses  in  the  year  ended 
March  31,  1943,  This  was  an  increase  of  6  percent  over  the  preced¬ 
ing  year. 


Said  to  be  a  protege  of  Mrs,  Franklin  D.  Roosevelt,  Melvyn 
Douglas,  movie  and  radio  star,  was  Jumped  from  private  first  class  in 
the  Army  to  Captain  as  a  result  of  an  order  from  the  War  Department. 
Douglas,  whose  real  name  is  Husselberg,  will  engage  in  a  radio  pro¬ 
ject  to  promote  the  sale  of  War  Savings  Bonds, 


It  is  illegal  for  retailers  who  in  March,  1942,  sold  flash¬ 
lights  and  batteries  separately,  now  to  require  the  purchaser  to  buy 
a  flashlight  case  when  he  only  wants  a  new  battery,  the  Office  of 
Price  Administration  said  in  answer  to  numerous  complaints  received 
from  the  general  public. 


Frank  E,  Mullen,  NBC  Vice-President  and  General  Manager, 
will  address  the  Summer  Radio  Workshop  of  New  York  University  on 
July  15th.  Mr,  Mullen  will  speak  on  ’•Private  Enterprise  and  Radio’s 
Future",  The  Workshop,  an  annual  feature  sponsored  by  the  University 
and  directed  by  Robert  J.  Landry,  is  in  session  for  six  weeks. 


The  FCC  authorized  the  continuance  of  its  manpower  survey 
of  1st  and  2nd  class  radiotelephone  operators.  The  postcard  survey 
will  be  mailed  to  the  remaining  19,000  licensees  to  ascertain  how 
many  of  this  number  are  available  for  full-  or  part-time  employment 
in  the  communications  industry. 


-  9  - 


7/13/43 


A  radio  direction-finding  device  has  been  designed  by  South 
African  engineers  and  is  being  manufactured  in  the  Union,  the  foreign 
press  reports.  Substantial  quantities  of  the  equipment  have  already 
been  made  and  shipped  overseas  for  use  of  the  armed  forces. 


The  Federal  Communications  Commission  has  continued  the 
hearing  of  KMTR  of  Los  Angeles,  Calif.,  now  until  July  28  in  re 
application  for  renewal  of  license. 


Only  twelve  years  old  and  already  a  veteran  of  radio, 

Mary  McIntyre  recently  celebrated  the  first  anniversary  of  her  own 
radio  program,  ”Story  Time”  presented  over  W85A,  General  Electric *s 
frequency  modulation  station  in  Schenectady,  On  the  program,  heard 
twice  each  week,  Mary  reads  children's  stories. 


Farnsworth  Television  &  Radio  Corp.  earned  $1,170,005  or 
85  cents  a  share  in  the  fiscal  year  ended  April  30,  compared  with 
$642,237  or  46  cents  a  share  in  the  preceding  year.  Price  reduc¬ 
tions  of  $1,153,656  were  made  during  latest  period  on  Government 
contracts  as  a  result  of  renegotiation  and  a  cash  refund  of 
$6,998,913  was  agreed  upon. 


Richard  Carlson  has  been  appointed  as  Director  of  Personnel 
and  William  B.  Robertson  as  Director  of  Budget  and  Planning  of  the 
Federal  Communications  Commission. 

Before  his  appointment  to  the  FCC,  Mr.  Carlson  was  Techn¬ 
ical  Director  of  the  Supervision  Improvement  Program  of  the  U,  S, 
Civil  Service  Commission,  From  1939  to  1942  he  served  as  Director 
of  Personnel  for  the  Civil  Aeronautics  Administration. 

Mr,  Robertson  grew  up  in  West  Virginia,  attending  grade 
school  and  high  school  in  Charleston*  He  was  graduated  from  Harvard 
College  in  1923  and  from  the  Graduate  School  of  Business  Administra¬ 
tion  of  New  York  University  in  1928.  He  was  connected  with  the 
Federal  Surplus  Commodities  Corporation  and  affiliated  bureaus  of 
the  Department  of  Agriculture  until  his  transfer  to  the  FCC. 


A  speech  on  race  relations,  which  was  to  have  been  given  by 
Prof,  Maurice  R,  Davie  of  Yale  University  over  Station  VfTIC  in  Hart¬ 
ford  was  cancelled  last  week,  the  station  said,  because  of  a  refer¬ 
ence  in  the  script  to  Red  Cross  policy  on  colored  blood  donors. 

The  statement  in  Prof.  Davie's  talk  to  which  the  station 
objected  was,  he  said: 

"Perhaps  no  single  incident  has  done  more  to  damage  Negro 
morale  than  the  gratuitous  insult  to  the  race  by  the  .American  Red 
Cross  in  first  refusing  to  accept  the  blood  of  Negro  donors  and  then 
in  segregating  it,  for  no  scientific  reason  whatsoever.  " 


Miles  Laboratories,  Inc, ,  Elkhart,  Ind.  ,  is  charged  in  a 
complaint  issued  by  the  Federal  Trade  Commission  with  disseminating 
advertisements  in  radio  broadcasts  and  periodicals  which  fail  to 
reveal  the  harmful  potentialities  that  may  result  from  excessive 
use  of  Dr,  Miles  Liquid  Nervine,  Dr.  Miles  Nervine  Tablets  and  Dr. 
Miles  Anti-Pain  Pills.  The  complaint  also  charges  that  the  respond¬ 
ent  corporation's  advertisements  misrepresent  the  therapeutic  value 
of  Liquid  Nervine  and  Nervine  Tablets, 

XXXXXXXXX 
-  10  - 


7/13/43 


LOYD  BRIGOS  NEW  R.C.A.  COMUNI  CATIONS  V-P  AND  GEN.  SUPT, 


Loyd  A,  Briggs,  General  Superintendent,  of  R,C.A.  Communi¬ 
cations,  Inc,,  was  elected  Vice  President  and  General  Superlntendenr, 
at  a  meeting  of  the  company*  s  Board  of  Directors  last  Friday. 

Mr,  Briggs,  former  European  Communications  Manager  of  RCAC 
in  London,  Is  a  veteran  of  the  International  radio  communications 
field.  Starting  in  1916  as  a  telegrapher  for  the  Chicago  and  North¬ 
western  Railway,  he  served  during  World  War  I  as  a  radio  man  in  the 
Transatlantic  Communications  Service  of  the  United  States  Navy,  He 
joined  the  Marconi  Wireless  Telegraph  Company  of  America  a  few  weeks 
before  it  was  acquired  ty  the  Radio  Corporation  of  America  in  1919, 

With  RCA  ever  since,  Mr.  Briggs  has  served  as  supervisor, 
technician,  traffic  engineer,  manager  of  the  RCA  Frequency  Bureau, 
and  as  European  Communications  Manager,  holding  the  latter  post  from 
1934  to  1938,  He  has  been  attached  to  RCAC's  central  office  at  66 
Broad  Street,  New  York,  since  1938,  first  as  Assistant  to  the  Vice 
President  and  General  Manager  and  more  recently  as  General  Superin¬ 
tendent, 

As  the  representative  of  RCA  and  RCAC,  Mr,  Briggs  attended 
all  of  the  major  international  conferences  and  technical  committee 
meetings  on  radio  and  telegraphy  from  1929  to  1938, 

Mr.  Briggs,  a  native  of  East  Gary,  Indiana,  makes  his  home 
at  Cranford,  N.  J, 


XXXXXXXX 

SYLVANIA  TO  HAVE  NEW  INTERNATIONAL  DIVISION 

As  the  first  step  toward  preparation  for  increased  world¬ 
wide  operation,  Sylvanla  Electric  Products  Inc,  ,  announces  the  forma¬ 
tion  of  an  International  Division  with  Walter  A.  Coogan  as  Director. 

As  part  of  its  expanded  activities,  the  International  Dl-vision  will 
include  the  operations  formerly  carried  on  by  the  Forei^  Sales  Dept. 

"With  a  substantial  increase  in  personnel,  a  much  wider 
scope  of  operation  is  planned.  To  facilitate  the  movement  of  Sylvanla 
Products  to  all  parts  of  the  world,  the  International  Division  will 
provide  engineering  counsel,  prompt  delivery i  more  frequent  and  per¬ 
sonal  contact  with  the  market  in  each  country",  says  a  Sylvanla  press 
release. 

"In  addition  to  being  prepared  for  an  increased  demand  for 
Sylvanla  incandescent  lamps,  fluorescent  lamps  and  fixtures,  radio 
and  electronic  tubes,  the  new  International  Division  will  be  geared 
to  the  coming  age  of  electronics.  There  will  be  new  Sylvanla  pro¬ 
ducts,  many  of  which  are  at  this  time  carefully  guarded  secrets. 

"World-Wide  distribution  of  Sylvanla  Products  is  now  new, 
Sylvanla  has  enjoyed  export  business  from  the  time  when  radio  first 
became  commercially  important.  Now  when  world  trade  has  a  new  pur¬ 
pose  and  a  new  meaning,  the  International  Division  has  been  organized 
to  meet  this  new  need,  " 

XXXXXXXX 
-  11  - 


Heinl  Radio  Business  Letter 

2400  CALIFORNIA  STREET  WASHINGTON,  D.  C. 


INDEX  TO  ISSUE  OF  JULY  16,  1943 


Did  FDR  Fall  Into  Trap  In  Bill  Firing  Suspect  Trio? . ,1 

Reaction  On  President's  FCC  Stand  Seems  Mixed . 2 

"Do  We  Want  U.  S.  Controlled  F^dio?”  Satevepost  Asks . 4 

Broadcasting  Industry  Post-War  Plan  Promised  Soon . 5 

Capital  Metropolitan  War  Area  To  Get  Two-Way  Radio, . 5 

Rep.  Cox  Out  Only  To  Seize  Headlines,  Fly  Charges . 6 

New  Methods  For  Radio  And  Phonograph  Price  Fixing . 8 

V7LB  Petrillo  Decision  Expected  Soon . . . 9 

Believed  Elmer  Will  Stick  At  OWI, . 10 

OWI  Begins  S~W  Expansion  With  Two  New  50  KW  Senders . 11 

Trade  Notes . 11 


No.  1545 


0  j/;  i 


''1 


DID  FDR  FALL  INTO  TRAP  IN  BILL  FIRINO  SUSPECT  TRIO? 


The  question  is  being  asked  if  the  rider  on  the  Urgent 
Deficiency  Bill  which  provides  the  President  will  have  to  renomin¬ 
ate  the  three  alleged  subversives,  Dr.  Goodwin  Watson  and  William 
Dodd,  Jr.  ,  of  the  Federal  Communications  Commission  and  Dr,  Robert 
M.  Lovett  of  the  Virgin  Islands,  by  November  15th  if  they  are  to 
stay  on  the  Government  payroll  was  not  a  carefully  laid  political 
trap  to  embarrass  Mr.  Roosevelt  by  putting  him  on  the  spot  with 
regard  to  the  New  Deal  and  Communism  at  a  time  when  the  fourth  term 
issue  was  apt  to  be  most  hotly  discussed.  As  it  appears  to  some 
observers,  the  House  passed  the  buck  to  the  Kerr  Committee,  the 
Kerr  Committee  passed  it  to  the  House,  the  House  passed  it  to  the 
Senate  and  the  Senate  passed  it  back  to  the  House  and  after  much 
battling  back  and  forth,  the  Senate  and  House  conferees  neatly 
passed  the  buck  to  the  President.  Mr.  Roosevelt  was  thus  given  a 
difficult  choice  and  one  which  either  way  might  affect  his  Fourth 
Term  aspirations. 

President  Roosevelt,  nevertheless,  took  the  bull  by  the 
horns  declaring  that  he  regarded  the  Deficiency  3111  rider  limiting 
the  conditions  for  employment  of  three  Government  workers  as  an  un~ 
warranted  encroachment  on  the  prerogatives  of  both  the  executive  and 
Judicial  branches  of  the  Government.  He  would  have  vetoed  the 
measure  if  it  had  not  provided  funds  vitally  needed  for  the  war 
effort. 


Mr.  Roosevelt,  who  indicated  he  felt  very  strongly  about 
the  matter,  said  he  proposed  to  send  a  message  to  Congress  when  it 
reconvenes  explaining  his  attitude. 

He  said  he  could  not  yield  in  this  Instance  without  plac¬ 
ing  his  views  on  record,  declaring  that  he  not  only  believed  the 
rider  was  unconstitutional,  but  that  it  was  definitely  objectionable. 

He  declined  to  say  whether  the  men  would  be  reappointed, 
amplifying  that  he  would  let  the  matter  stand  Just  where  he  had  put 
it  by  his  statement. 

He  said  there  had  been  no  suggestion  that  these  men  had 
not  been  loyal  to  the  Government,  and  added  that  similar  action 
might  have  been  taken  with  regards  to  other  Federal  personnel  -  even 
members  of  the  Supreme  Court,  which  he  said  would  be  an  interesting 
idea,  or  members  of  the  Cabinet. 

Conclusions  drawn  from  the  President's  bitter  attack  on 
the  rider  are  that  he  will  either  renominate  Messrs,  Watson,  Dodd 
and  Lovett  or  go  to  court  about  it,  that  he  is  squarely  behind 
Chairman  Fly,  who  also  had  warmly  defended  the  trio,  and  that  he 

-  1  - 


will  fight  the  thing  out  with  the  House  in  the  Fall  -  which  would 
mean  still  another  White  House- Congressional  squabble. 

President  Roosevelt  said  that  his  message  to  Congress  will 
argue  that  the  rider  is,  in  fact,  a  Bill  of  Attainder,  under  a 
Supreme  Court  decision  holding  that  legislation  which  punishes  with¬ 
out  judicial  trial  shall  be  so  considered. 

Section  9,  Article  I  of  the  Constitution  specifically 
states  that  "no  Bill  of  Attainder  or  ex  post  facto  law  shall  be 
passed. 


xxxxxxxx 

REACTION  ON  PRESIDENT'S  FCC  STAND  SEEMS  MIXED 


Because  of  the  fact  that  most  of  the  members  of  Congress 
were  away  from  Washington,  it  was  difficult  to  secure  opinion  with 
regard  to  President  Roosevelt's  objection  to  the  Goodwin  Watson- 
Dodd-Lovett  Deficiency  Bill  rider.  Senator  Thomas  (D),  of  Utah, 
backed  Congress,  though  he  said  that  he  had  opposed  the.  rider. 
Senator  Revercomb  ( R) ,  of  West  Virginia,  did  likewise.  Representa¬ 
tive  Hendricks  (D),  Florida,  said; 

•^We  have  not  discharged  any  individual.  We  have  limited 
an  appropriation,  and  I  believe  the  courts  will  so  hold. " 

Representative  Hobbs  (D),  of  Alabama,  took  the  opposite 

view  thus: 


"There  is  no  doubt  that  the  rider  is  unconstitutional. 

It  provides  the  punishment  without  trial  and  violates  the  separation 
of  powers  doctrine  implicit  in  the  Constitution.  In  my  opinion  this 
rider  is  a  bill  of  attainder  in  that  this  legislative  action  inflicts 
punishment  without  Judicial  trial. " 

Secretary  Ickes,  referring  particularly  to  Dr,  Lovett,  who 
is  under  the  Interior  Department,  described  the  rider  as  "the  final 
step  in  the  travesty  of  Justice  which  has  taken  place  in  this  witch 
hunt.  " 


The  New  York  Times  said  though  a  grave  constitutional 
issue  had  been  created,  it  was  not  so  much  that  as  orderly  procedure 
and  fair  play  that  would  interest  most  Americans; 

"The  House  of  Representatives  Committee,  proceeding  in  its 
customarily  reckless  and  high-handed  manner,  never  produced  evidence 
that  the  organizations  in  question  were  actually  subversive  or,  if 
they  were,  that  the  accused  men  had  other  than  an  innocent  connection 
with  them.  In  fact,  the  Dies  Committee's  list  of  subversive  groups 
is  long  enough  and  indiscriminate  enough  to  catch  almost  any  group  or 
individual  that  the  Committee  does  not  care  for.  The  three  victims 
were  railroaded  through  the  Committee  and  railroaded  again  in  the 
House* 

S  - 


'D  -'A 


V.? 


t  Cm  y,:  ■  V, 


n 


7/16/43 


”We  think  that  something  should  be  done  to  check  the 
practice  of  character  assassination  by  irresponsible  Congressional 
committees.  Perhaps  no  new  interpretation  of  the  Constitution  is 
needed.  Congress  itself  could  work  the  reform  by  laying  down  rules 
of  procedure  for  committees  of  inquiry  that  would  have  some  relation¬ 
ship  to  the  time-tried  and  revered  principles  of  Anglo-Saxon  and 
American  justice. ” 

The  Washington  Star  said: 

"The  President  seems  to  have  been  intentionally  equivocal 
in  saying  that  he  does  not  consider  the  law  denying  salaries  to 
three  Federal  officials  to  be  'binding’  upon  the  Executive  or  the 
Judiciary. 


’’Whatever  the  means  chosen  by  the  President  to  sustain  his 
contention  that  the  law  is  not  binding,  he  was  unequivocal  enough  in 
stating  his  objections.  And  rightly  so.  For  whether  or  not  this 
punishment  of  men  for  their  beliefs  is  in  a  strictly  legal  sense  a 
bill  of  attainder  prohibited  by  the  Constitution,  or  is  an  encroach¬ 
ment  on  executive  functions,  there  are  few  who  can  agree  that  the 
action  of  the  House  in  choosing  this  method  of  showing  its  disapprov¬ 
al  of  the  officials  concerned  is  in  accord  with  accepted  principles 
of  Justice.  The  men  were  never  accused  of  anything  prohibited  by  law. 

’’While  the  prejudice  indicated  may  have  temporary  popular 
approval,  it  is  not  to  be  condoned  without  inviting  others  even  more 
dangerous. 


’’The  President  was  forced  to  sign  the  bill.  He  was  right 
in  protesting,  and  it  is  to  be  hoped  that  he  will  find  the  ways  and 
means  to  make  his  protest  stick, " 

The  Washington  Post,  which  has  endorsed  the  FCC  so  repeat¬ 
edly  of  late,  says: 

"The  President  was  wholly  Justified  in  his  denunciation 
yesterday  of  the  Kerr  amendment  forbidding  the  payment  of  salaries 
to  Messrs,  Watson,  Dodd  and  Lovett,  That  he  felt  obliged  to  sign 
the  urgent  deficiency  appropriation  bill  is  understandable  enough 
in  view  of  the  need  to  meet  payroll  obligations  long  past  due.  It 
is  regrettable,  nevertheless,  that  the  President’s  name  should 
appear  upon  a  measure  so  flagrantly  violative  of  the  Constitution, 
Here  is  fresh  illustration  of  the  evil  involved  in  the  attachment  of 
wholly  irrelevant  riders  to  essential  legislative  acts.  The  Execut¬ 
ive  has,  in  effect,  been  robbed  of  his  veto  power. 

"The  courts  must  now  be  looked  to  for  protection  of  the 
three  proscribed  individuals.  Only  in  the  courts,  moreover^  can  the 
constitutionality  of  the  procedure  laid  down  by  Congress  be  deter¬ 
mined,  The  Post  believes,  therefore,  that  the  President  should  not 
make  himself  a  party  to  this  procedure.  If  he  were  to  nominate  these 
men  for  appointment  to  offices  they  already  legally  hold,  and  submit 
their  names  to  the  Senate  for  confirmation,  he  would  be  giving  at 
least  the  appearance  of  approval  to  this  course*  The  precedent 
would  be,  in  our  opinion,  a  very  dangerous  one.  " 

XXXXXXXX 
••  3  •• 


7/16/43 


••do  we  want  u.s.  controlled  radio?”  satevepost  asks 


The  question  of  the  "freedom  of  the  air"  what  it  is,  who  is 
to  protect  it  and  how  it  is  to  be  regulated  -  has  been  passed  back  to 
Congress  the  Saturday  Evening  Post  says  in  its  leading  editorial  this 
week  (July  ITjI  After  setting  forth  details  of  the  recent  Supreme 
Court  decision,  it  continues: 

"At  a  time  like  the  present,  there  is  always  the  risk  that 
debates  on  these  matters  will  generate  more  heat  than  light.  The 
debate  in  Congress  sometimes  exceeded  the  bounds  of  reason.  Never¬ 
theless,  it  seems  to  us  reasonable  to  say  that  before  any  Government 
commission  is  given  the  right  to  determine  the  •composition  of  the 
traffic'  over  the  ether  of  news,  entertainment  and  opinion,  Congress 
should  make  its  own  declaration  on  the  issue. 

"Since  it  is  the  Intent  of  Congress  which  is  being  debated, 
there  can  surely  be  no  objection  to  asking  Congress  whether  it  agrees 
with  Commissioner  Fly  and  the  Supreme  Court  majority  or  with  the 
radio  industry,  a  considerable  portion  of  the  listening  public  -  which 
thinks  that  radio  broadcasting  is  pretty  good  -  and  the  court's 
minority. 


"The  alternative  to  a  new  determination  by  Congress  upon 
its  actual  Intentions  is  to  hand  over  to  an  administrative  agency 
powers  which  seriously  threaten  freedom  of  expression  on  the  air. 

The  issue  is  not  whether  a  broadcasting  station  should  contract  to 
hold  free  time  at  the  disposal  of  a  network  or  whether  a  network 
should  withhold  from  competing  stations  programs  which  have  been 
rejected  by  a  network  station.  There  are  various  opinions  as  to 
whether  or  not  this  or  that  of  the  Commission's  regulations  would 
improve  broadcasting  or  wreck  it.  The  primary  issue  is  not  the  merit 
of  the  rules,  but  the  right  of  the  Commission  to  promulgate  and  en¬ 
force  regulations  which  make  fundamental  changes  in  radio.  What 
Congress  must  decide  is  what  becomes  of  free  broadcasting  if  a  Govern' 
ment  commission  has  power  to  'determine  the  composition  of  the 
traffic' , 


"In  less  critical  times,  we  might  be  accused  of  taking  an 
alarmist  view.  But  the  Administration  does  too  little  to  dispel 
alarm  on  the  subject  of  free  communication.  The  President's  frequent 
gibes  at  the  newspapers,  the  suit  against  the  Associated  Press,  the 
continual  preoccupation  of  Government  spokesmen  with  the  supposedly 
venal  and  one-sided  character  of  such  media:  all  this  conspires  to 
build  up  in  the  public  mind  a  new  fear,  one  which  we  supposed  had 
been  dispelled  for  all  time  -  namely,  that  the  heavy  and  unimaginative 
hand  of  bureaucracy  is  groping  for  control  of  thought  and  information 
in  the  United  States. 

"The  social  and  economic  views  of  many  policy  makers  in  the 
administrative  agencies  do  not  dissipate  this  fear.  There  is  in  the 
administrative  agencies  too  much  agreement  with  the  opinion  expressed 
by  Milton  Freeman,  Assistant  Solicitor  for  the  Securities  and 
Exchange  Commission,  who  said,  in  response  to  a  question  by  Repre- 


-  4 


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7/16/43 


sentatlve  Boren,  of  the  House  Committee  on  Interstate  Commerce,  *I 
believe  any  law  of  Congress  or  any  rule  adopted  under  It,  if  it  in 
any  way  conflicts  with  a  law  of  a  state,  supersedes  that  law, * 

•^According  to  the  Constitution  and  a  long  procession  of 
Judicial  decisions,  the  situation  is  not  quite  so  cut  and  dried.  But 
if  Mr,  Freeman  represents  the  legal  philosophy  prevalent  In  agency 
circles,  the  revolt  in  Congress  is  not  surprising.  Precision  in  the 
delegation  of  powers  to  agencies  is  the  minimum  requirement  for 
the  preservation  of  our  system  of  government.  As  applied  to  radio, 
we  predict  that  Congress  will  take  the  view  that  no  administrative 
agency  is  qualified  to  decide  what  shall  be  the  *  composition  of  the 
traffic*,  in  so  far  as  that  means  control  over  the  ideas  and  informa¬ 
tion  which  Americans  shall  be  permitted  to  hear,  ” 

xxxx'xxxx 


BROADCASTING  INDUSTRY  POST-WAR  PLAN  PROMISED  SOON 


Chairman  James  L,  Fly  of  the  Federal  Communications  Commis¬ 
sion  appears  to  be  optimistic  as  to  the  possibilities  of  the  broad¬ 
casting  Industry’s  post-war  plan.  Mr.  Fly  said  that  it  was  making 
decided  progress  and  he  believes  the  industry  will  have  a  program 
that  everybody  will  agree  to  in  a  short  time. 

XXXXXXXXX 


CAPITAL  METROPOLITAN  WAR  AREA  TO  GET  TWO-WAY  RADIO 


For  the  better  wartime  protection  of  the  suburban  area  of 
Washington,  a  modern  two-way  communication  system  for  the  Montgomery 
County,  Maryland,  Police  Department,  when  the  County  Commissioners 
authorized  the  purchase  of  a  radio  system  similar  to  one  recently 
tested.  (Montgomery  County  Immediately  adjoins  the  Nation’s  Capital) 

The  Board  directed  H.  Leslie  Carlin,  Chief  of  the  County 
Police  Department,  to  place  the  maintenance  and  operation  of  the 
system  under  command  of  Capt.  Guy  L.  Jones  of  the  County  policy  force 
Captain  Jones  was  authorized  to  take  any  course  of  Instruction  deemed 
advisable  and  to  obtain  the  license  required. 

Captain  Vollten  of  the  County  Detective  Bureau,  said  the 
proposed  system  would  save  the  County  approximately  $2,. 000  annually 
in  telephone  tolls.  The  cost  of  installation  was  placed  by  Commis¬ 
sioner  Shaw  at  around  ^14,000,. 

xxxxxxxx 


5  - 


1 


7/16/43 


REP.  COX  OUT  ONLY  TO  SEIZE  HEADLINES,  FLY  CHARG-ES 


Making  public  a  memorandum  alleged  to  have  been  written 
by  a  press  agent  and  sent  to  committee  members  by  Eugene  L.  Garey, 
its  counsel,  devising  a  system  of  trying  to  shut  up  any  rebuttal 
from  the  FCC  Chairman,  James  L,  Fly  led  with  another  one  to  the  chin 
of  Representative  Eugene  Cox  of  Georgia  In  the  Federal  Communications 
Commission  Investigation  publicity  slugfest.  Mr,  Fly  endeavored  to 
show  that  Mr,  Cox  and  the  House  Committee  were  simply  out  to  grab 
the  headlines  for  their  side  of  the  case  and  to  prevent  the  public 
from  hearing  any  comeback  from  Chairman  Fly  or  the  Commission, 

In  the  meantime  Representative  Cox  dispelled  rumors  that 
the  Committee  stymied  by  President  Roosevelt  refusing  to  allow  Army 
and  Navy  officers  to  testify,  would  stall  along  until  Congress  re¬ 
convened  by  saying  that  hearings  would  be  resumed  Monday  (July  19) 
and  probably  might  run  along  for  the  rest  of  the  week. 

It  was  also  made  known  that  Mr.  Carey  was  laying  definite 
plans  to  endeavor  to  have  Mr.  Fly  and  Harold  D.  Smith,  Director  of 
the  Budget  cited  for  contempt  for  their  balking  at  testifying  before 
the  House  Committee  last  week, 

Mr,  Fly's  latest  blast  at  Chairman  Cox  and  the  House  Com¬ 
mittee  follows: 

"The  real  character  of  the  'impartial  and  wholly  construc¬ 
tive'  Investigation  which  Chairman  Cox  at  the  opening  hearing  public¬ 
ly  assured  the  Commission,  the  Congress  and  the  people  Is  now  clear, 

"The  memorandum  from  the  Wall  Street  counsel  to  the  members 
of  the  Cox  Committee  merely  confirms  and  formalizes  the  plan  adopted 
by  the  Committee  in  assembled  meeting  on  July  6,  It  la  to  be  noted 
that  this  plan  which  was  prepared  by  a  representative  of  the  Inters 
national  News  Service  sets  forth  'principles'  to  govern  the  Commit¬ 
tee's  public  proceedings.  These  'principles'  are  carefully  designed 
to  accomplish  two  results: 

1,  The  seizure  of  the  headlines, 

S,  By  adroit  use  of  the  gavel,  the  effectuation* of  the 
principle  that  the  Committee  must  keep  the  Commis¬ 
sion'  s  side  of  the  case  from  reaching  the  public, 

"I  cannot  believe  that  the  House  of  Representatives  of  the 
United  States  ever  intended  to  authorize  Its  delegated  representa¬ 
tives  to 


'Decide  what  you  want  the  newspapers  to  hit  hardest 
and  then  shape  each  hearing  so  that  the  main  point 
becomes  the  vortex  of  the  testimony.  Once  that 
vortex  is  reached,  ad.1ourn.  ' 

Nor  can  the  House  of  Representatives  have  meant  to  authorize  an 
investigation  which,  in  the  first  Instance,  would  treat  the  Commls- 


—  6  — 


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Sion  as  *the  opposition*,  and  then  would  formally  adopt  a  plan  to 
preclude  'the  opposition*  from  the  'opportunity  to  make 
replies,  • 


”It  is  difficult  to  believe  that  the  Congress  meant  to 
delegate  to  Congressman  Cox  as  Chairman  of  the  Committee  the  arbitr¬ 
ary  power  to  swing  the  gavel  and  recess  or  adjourn  the  hearings  so 
that  he  would  'keep  the  proceedings  completely  in  control  so  far  as 
creating  news  is  concerned.  * 

"Nor  can  one  easily  come  to  believe  that  the  Congress 
wanted  this  so-called  investigative  Committee  to  smother  out  the 
statements  of  'witnesses  which  might  provide  news  that  would  bury 
the  testimony  which  you  want  featured'. 

"There  is  nothing  new  in  the  procedures  for  creating  public 
ity  with  scandalous  and  unsupportable  charges  and  then  promptly  shut¬ 
ting  off  any  possible  opportunity  for  the  Commission  to  be  heard  on 
those  charges,  or  even  to  present  its  case  to  the  press.  Ultimately, 
the  greater  injury  here  must  be  to  the  Committee  Itself  when  Congress 
man  Cox  and  his  Wall  Street  counsel  have  the  temerity  to  adopt  pro¬ 
cedures  which  abuse  the  great  Congressional  power  of  Investigation 
by  a  calculated  bid  for  headlines  and  by  a  deliverate  plan  to  avoid 
any  hearing  on  the  charges  until  after  a  startling  publicity  has 
taken  its  toll. 

"Despite  the  unhappy  auspices  under  which  this  so-called 
investigation  was  given  birth,  I  cannot  believe  that  the  United 
States  House  of  Representatives  has  ever  fully  understood  what  its 
Committee  is  doing  in  star  chamber  proceedings,  in  the  secret 
eliciting  of  'testimony*  in  the  downtown  hotels  of  the  City  of 
Washington,  and  in  the  now  publicly  confirmed  unfair  principles 
governing  its  conduct  of  public  hearings. " 

The  memorandum  alleged  to  have  been  sent  to  the  Cox  com¬ 
mittee  by  its  counsel,  Mr.  G-arey,  follows: 

”1.  Decide  what  you  want  the  newspapers  to  hit  hardest  and 
then  shape  each  hearing  so  that  the  main  point  becomes  the  vortex 
of  the  testimony.  Once  that  vortex  is  reached,  adjourn. 

"2.  In  handling  press  released,  first  put  a  release  date  on 
them,  reading  something  like  this:  'For  release  at  10:00  A. M.  EWT 
July  6*,  etc.  If  you  do  this,  you  can  give  releases  out  as  much  as 
24  hours  in  advance,  thus  enabling  reporters  to  study  them  and  write 
better  stories, 

"3.  Limit  the  number  of  people  authorized  to  speak  for  the 
committee,  to  give  out  press  releases  or  to  provide  the  press  with 
information  to  the  fewest  number  possible.  It  plugs  leaks  and  helps 
preserve  the  concentration  of  purpose, 

''4,  Do  not  permit  distractions  to  occur,  such  as  extraneous 
fusses  with  would-be  witnesses,  which  might  provide  news  that  would 
bury  the  testimony  which  you  want  featured. 


-  7 


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7/16/43 


”5.  Do  not  space  hearings  more  than  24  or  48  hours  apart  when 
on  a  controversial  subject.  This  gives  the  opposition  too  much 
opportunity  to  make  all  kind  of  counter- charges  and  replies  by  issu¬ 
ing  statements  to  the  newspapers* 

”6*  Don*t  ever  be  afraid  to  recess  a  hearing  even  for  five 
minutes,  so  that  you  keep  the  proceedings  completely  in  control  so 
far  as  creating  news  is  concerned, 

’*7,  And  this  is  most  important;  don’t  let  the  hearings  or  the 
evidence  ever  descend  to  the  plane  of  personal  fight  between  the 
Committee  Chairman  and  the  head  of  the  agency  being  investigated. 

The  high  plane  of  a  duly-authorized  Committee  of  the  House  of 
Representatives  examining  the  operations  of  an  Agency  of  the  Execut¬ 
ive  Branch  for  constructive  purposes  should  be  maintained  at  all 
costs. ” 


XXXXXXXX 

NEW  METHODS  FX)R  RADIO  AND  PHONOORAPH  PRICE  FIXING 


New  methods  by  which  maximum  prices  are  determined  on 
radios  and  phonographs  assembled  by  retailers  and  distributors  were 
established  today  (Friday)  by  the  Office  of  Price  Administration, 

The  action  provides  more  effective  control  over  ceilings 
on  a  scattered  number  of  radio  dealers  and  distributors  who  since  the 
Summer  of  1942,  when  regular  manufacturing  ceased,  have  become  exten¬ 
sive  assemblers  of  household  radio  receiving  sets  from  parts  which 
they  accumulated. 

These  methods,  embodied  in  Maximum  Price  Regulation  No,  430 
effective  July  26,  1943,  will  make  prices  to  the  public  more  uniform 
and  in  many  instances  lower  than  levels  that  have  been  prevailing. 
Hitherto  these  articles  have  been  under  the  General  Maximum  Price 
Regulation  with  highest  March  1942  prices  as  ceilings. 

Regular  manufacturers  of  radios  are  specifically  excluded 
from  the  new  regulation.  Sales  of  radios  or  phonographs  by  house¬ 
holders  also  are  not  affected.  OPA  consulted  with  representatives  of 
distributors  and  retailers  in  formulating  the  regulation. 

Ceilings  now  are  established  by  two  formulas,  one  for  dis¬ 
tributor-assemblers,  the  other  for  retailer-assemblers. 

Distributor-?assemblers  determine  their  maximum  prices  by 
taking  the  unit  direct  cost  of  the  model  being  priced,  adding  122 
percent  to  determine  the  dealer’s  retail  price,  and  subtracting  40 
percent  from  the  latter  to  arrive  at  their  own  maximum  selling  prices 
to  retailers.  For  sales  at  retail  by  the  distributor-assembler, 
maximum  prices  are  determined  by  adding  82  percent  to  the  unit  direct 
cost  of  the  model. 


-  8  - 


7/16/43 


Retailer-assemblers  will  add  82  percent  to  the  unit  direct 
cost  to  establish  the  retail  level. 

The  unit  direct  cost  is  determined  by  the  assembler  by  tak¬ 
ing  either  the  invoice  cost  to  him  of  the  radio  or  phonographs  parts, 
or  the  ceiling  prices  for  the  chassis,  cabinet  and  other  parts  to  the 
class  of  purchaser  to  which  the  assembler  belongs  as  established  under 
the  applicable  regulations  for  these  parts,  whichever  is  lower. 

Mark-ups  established  are  based  on  average  March  1942  pract¬ 
ices  in  the  trade. 

Prices  when  determined  by  the  assembler  are  to  be  submitted 
to  the  nearest  Regional  Office  and  the  models  are  not  to  be  offered 
for  sale  until  15  days  thereafter.  If  OPA  does  not  direct  otherwise, 
the  model  may  be  offered  for  sale  at  the  expiration  of  the  15-day 
period.  The  ceilings  so  established  are  subject  to  adjustment  at  any 
time  by  OPA.  Minor  changes  in  the  model  will  not  affect  the  establ¬ 
ished  ceiling.  However,  if  a  change  reduces  the  unit  direct  cost  by 
more  than  ^.00  or  prevents  the  set  from  offering  fairly  equivalent 
serviceability,  a  new  ceiling  must  be  established. 

In  the  case  of  any  radios  or  phonographs  assembled  by  other 
than  the  two  classes  of  assemblers  covered  by  this  regulation  -  per¬ 
sons  who  are  not  manufacturers,  or  radios  which  are  not  guaranteed 
as  specified  in  the  regulation  -  maximum  prices  will  be  specifically 
authorized  by  the  Washington  office  of  OPA.  All  models  prices  pur¬ 
suant  to  the  formula  must  have  a  written  guarantee  for  90  days,  the 
regulation  stipulates. 

Sellers  are  required  to  attach  a  tag  to  each  radio  or  phono¬ 
graph  stating  the  maximum  price,  the  stock  number  and  the  guarantee. 
The  tag  must  stay  on  until  the  article  reaches  the  ultimate  consumer. 

Regular  manufacturers,  who  are  excluded  from  this  regula¬ 
tion,  continue  under  Revised  Price  Schedule  No.  83  (Radio  Receivers 
and  Phonographs) .  Manufacturers,  however,  were  practically  removed 
from  production  by  Limitation  Orders  L-44A  and  L-183  of  the  WPA, 

XXXXXXXX 


WLB  PETRILLO  DECISION  EXPECTED  SOON 


A  decision  from  the  War  Labor  Board  in  the  Petrillo  case 
may  be  forthcoming  at  any  time.  One  report  is  that  the  Board  will 
take  Jurisdiction  but  will  not  declare  that  a  strike  of  the  American 
Federation  of  Musicians  exists  against  the  transcription  companies 
but  will  name  a  special  board  to  look  into  the  situation.  It  would 
simply  make  recommendations  as  to  some  form  of  compromise  agreement 
between  the  warring  factions. 

On  the  order  of  Mr.  Petrillo,  who  was  declared  to  have 
threatened  the  network  with  a  strike  if  it  was  not  obeyed,  the 


9  - 


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7/16/43 


Mutual  Broadcasting  System  Thursday  cut  off  sustaining  programs 
to  WSAY,  its  affiliate  in  Pochester,  N.  Y. ,  which  the  AM  is  fight¬ 
ing  because  the  station  refused  to  increase  its  musical  staff  from 
three  to  five.  Miller  McCllntock  said  that  Mutual  ”ls  not  a  party 
to  the  dispute  between  WASY  and  the  American  Federation  of  Musicians 
and  has  no  power  or  authority  to  Intervene  in  any  manner  in  the 
issues  which  are  involved,  ”  The  action  taken  by  Mutual  was  "to  pre¬ 
vent  the  violation  of  our  network  commitments  and  program  schedules” 
and  was  "the  only  practical  alternative  available  to  us  under  the 
circumstances, " 


XXXXXXXX 

BELIEVED  ELMER  WILL  STICK  AT  OWI 


Although  still  pretty  much  in  the  eclipse,  it  begins  to 
look  as  if  Elmer  Davis  may  not  resign  although  this  isn't  definitely 
determined.  Mr.  Davis,  who  is  now  enroute  to  England  to  Inspect  the 
London  branch  of  the  Office  of  War  Information,  complained  in  a 
speech  in  New  York  about  the  small  amount  the  Domestic  Branch,  which 
was  hit  by  the  Congressional  cyclone,  had  to  work  with  but  gave  no 
Intimation  that  he  intended  to  quit  or  that  the  European  Junket  was 
a  cooling  off  period  prior  to  that,  Mr.  Davis  said  that  now  the 
radio,  motion  picture,  and  other  industries  would  have  to  do  a  good 
deal  of  the  work  themselves  that  OWI  had  been  doing  for  them.  While 
Mr.  Davis  is  away,  his  weekly  broadcasts  have  been  taken  over  by 
Bill  Henry,  chief  correspondent  of  the  Columbia  Broadcasting  System 
Washington  News  Bureau, 

Among  the  recommendations  for  reorganizing  the  Domestic 
Bureau  made  by  the  new  OWI  Advisory  Committee,  of  which  Roy  Roberts 
of  the  Kansas  City  Star  is  the  Chairman,  were  the  following: 

"The  American  people  are  entitled  as  a  right  to  full  and 
purely  factual  information  concerning  public  events  and  the  acts  of 
public  officials,  entirely  free  of  propaganda, 

"It  is  vital  that  such  information  be  disseminated  only 
through  the  existing  media  of  public  information  such  as  newspapers, 
trade  Journals,  magazines,  radio  and  the  motion  pictures, 

"OWI  can  perform  a  highly  useful  and  necessary  function  in 
gathering  and  coordinating  the  news  of  the  vastly  complicated  and 
far-flung  activities  of  the  Government,  but  in  this  process  it  should 
not  in  any  wise  shut  off  the  press  and  other  media  of  Information 
from  direct  access  to  the  sources  of  news, 

"The  committee  suggested  that  the  OWI  call  into  conference 
representatives  of  the  corps  of  Washington  correspondents,  both  press 
and  radio,  in  order  to  further  cooperation  in  the  collection  of  news 
and  to  keep  open  the  primary  channels  of  information  as  far  as  is 
consistent  with  national  security. 

"The  committee  received  conflicting  reports  as  to  the  effect 
of  the  abolition  of  the  field  service.  The  committee  will  request 
OWI  to  poll  newspapers  and  radio  stations  as  to  their  desire  for  the 
recreation  of  a  field  service  operating  under  the  same  principles 
that  govern  OWI*s  Washington  activity." 

XXXXXXXX 
-  10  - 


r  X 


7/16/43 


OWI  BEGINS  S-W  EXPANSION  WITH  TWO  NEW  50  KW  SENDERS 


Construction  of  two  50-kllowatt  high-frequency  shortwave 
transmitters,  which  will  be  the  first  to  go  into  operation  under  the 
Office  of  War  Information’s  plan  to  expand  American  international 
broadcasting  facilities,  was  begun  last  Monday  in  New  Jersey  on  the 
grounds  formerly  occupied  by  the  transmitter  of  Columbia  Broadcast¬ 
ing  System’s  key  station  WABC, 

"Realizing  the  urgency  of  putting  its  expansion  plan  into 
effect  at  the  earliest  possible  moment,  the  OWI  selected  the  CBS 
site  because  of  its  ideal  facilities,  which  Include  a  specially- con¬ 
structed  transmitter  building  ready  to  receive  the  new  equipment, 
underground  conduits  for  power  and  radio  circuits,  and  many  acres  of 
property  completely  cleared  of  trees  and  other  obstructions,  factors 
of  great  value  in  the  construction  and  operation  of  a  radio  station", 
a  CBS  release  explains. 

The  two  ultra-modern  transmitters  will  be  able  to  work 
into  several  modern  directional  antennas,  greatly  Increasing  their 
effectiveness  and  coverage,  " 

XXXXXXXXX 


TRADE  NOTES 


Upon  the  authorization  of  the  Board  of  Directors,  the 
American  Society  of  Composers,  Authors  and  Publishers  last  Monday 
distributed  to  its  membership  and  associated  societies  11,260,000 
in  royalties  for  the  second  quarter  of  1943,  which  ended  June  30th, 
This  figure  represents  the  largest  royalty  distribution  made  in  any 
one  quarter  since  1940, 


Mark  Woods,  President  of  the  Blue  Network,  will  be  host  at 
a  luncheon  in  honor  of  Lunsford  P.  Yandell,  Vice-President  of  the 
Blue  today  (Friday)  in  the  Louis  XVI  room  of  the  St.  Regis  Hotel, 

Mr,  Yandell  recently  returned  to  New  York  and  his  offices  at  the 
Blue  after  a  10-month  stay  in  England,  where  he  assisted  in  the 
organization  of  Red  Cross  activities  for  United  States  troops  in 
Great  Britain. 

Station  KFUIB,  Worcester  Broadcasting  Corp,  ,  San  Diego,  Cal. 
had  its  amended  application  approved  by  the  FCC  for  consent  to  trans¬ 
fer  control  of  the  Worcester  Broadcasting  Corp.  from  the  Estate  of 
Warren  B.  Worcester,  deceased,  to  the  First  National  Trust  and  Sav¬ 
ings  Bank  of  San  Diego,  and  renewal  of  license  application  for  a 
period  of  one  year. 


Two  Kentucky  stations,  WHOP,  Hopkinsville , and  WPAD,  Paducah, 
will  become  affiliated  with  the  Columbia  Broadcasting  System  July  18. 
Both  stations  are  owned  and  operated  by  the  Paducah  Broadcasting  Com¬ 
pany,  In,  and  join  the  network  as  special  basic  supplementary  sta- 


;• 


Heinl  Radio  Business  Letter 

2400  CALIFORNIA  STREET  WASHINGTON,  D.  C. 


30  HOCKEFEUEH  plaza,  new  YORK,  N, 


INDEX  TO  ISSUE  OF  JULY  20,  1943 


Believed  Willkle^McCormlck  Radio  Debate  Would  Be  Wow . 1 

Army  Does  An  About  Face  On  Radar  Publicity . . . 2 

FCC  Hearings  Go  Merrily  Along  Despite  White  House  Gag . 3 

New  York  Station  Imports  Records  From  England . 5 

McDonald  Plan  Saves  U.S,  Millions  In  Royalties... . ,6 

Congressman  Seeks  Senator  Tobey's  Seat . ,7 

Calls  House  FCC  Committee  Technique  "Siaear  Formula” 

David  Rosenblura,  Former  NBC  Vice-President,  Dies... 

Says  Palace  Guard  Gave  FDR  Poor  Advice  In  FCC  Case . 9 

Trade  Notes,.... . 10 


No.  1546 


CD  CD 


! 


(  , 


July  80,  1943 


BELIEVED  WILLKIE-McCOBMICK  RADIO  DEBATE  WOULD  BE  WOW 


When  Col.  Robert  R,  McCormick,  publisher  of  the  Chicago 
Tribune ,  was  asked  if  he  really  intended  to  participate  in  the  1944 
campaign  against  Wendell  Willkle,  Colonel  McCormick  replied,  ”Def- 
initely  not*  I  am  a  publisher  -  not  a  politician. ”  If,  however, 
the  Colonel  had  been  challenged  to  a  radio  debate  with  Mr,  Willkie, 
it  is  wondered  if  there  might  not  have  been  an  affirmative  answer. 
Obviously  Mr.  Willkie,  having  been  through  a  presidential  struggle, 
would  be  more  experienced  in  an  old-fashioned  town-to-town  campaign 
in  Illinois,  Also  he  is  almost  15  years  younger  than  Colonel 
McCormick,  who  is  63  years  old. 

Over  the  radio  it  would  be  entirely  different.  Whether 
the  men  consented  to  broadcast  from  the  same  platform  or  whether 
they  would  go  on  at  different  times,  they  v/ould  be  on  a  much  more 
equal  footing.  While  as  far  as  known  Colonel  McCormick  has  never 
done  any  town-to-town  campaigning,  he  is  an  experienced  broadcaster. 
In  fact,  he  has  a  weekly  spot  on  the  Chicago  Theatre  of  the  Air 
program  every  Saturday  at  9  P.M. ,  EWT,  over  his  own  Station  WGN  and 
has  had  for  years. 

For  the  most  part.  Colonel  McCormick’s  talks  are  of  a 
military  nature  because  he  is  a  soldier  as  well  as  publisher,  his 
title  of  "Colonel**  being  the  real  thing.  Ke  served  first  as  Major 
of  the  1st  Illinois  Cavalry  on  duty  on  the  Mexican  border  1916-7, 
was  attached  to  General  Pershing’s  staff  in  France,  was  Lieut, 

Colonel  of  the  122nd  F.  A.  and  later  Colonel  of  the  61st  Field 
Artillery,  was  awarded  the  Distinguished  Service  Medal  and  once 
was  Commandant  at  Fort  Sheridan.  He  is  also  the  author  of  a  bio¬ 
graphy  of  Gen.  U.  S,  Grant, 

Everybody  knows  what  Mr.  Willkie ’s  style  of  broadcasting 
is  and  what  he  is  like  over  the  air.  He  is  quick  on  the  trigger 
and  speaks  easily  whereas  Colonel  McCormick  might  be  called  a  solid 
sender  speaking  more  slowly  and  at  times  as  if  he  were  weighing  his 
words.  Each  man  is  well  able  to  hold  his  own  in  his  particular  way. 

One  of  the  biggest  laughs  in  the  Wlllkie-McCormick  feud 
was  the  Colonel  calling  Willkie  a  "foreigner”  when,  as  is  well-known, 
they  were  born  in  neighboring  States  -  Indiana  and  Illinois,  There 
is,  however,  this  difference.  Mr.  Willkie  was  bom  and  raised  in 
the  small  town  of  El wood,  and  Colonel  McCormick  in  the  city  of 
Chicago,  In  a  way,  their  early  environments  are  reflected  over  the 
air  in  their  manner  of  speech  and  pronunciation, 

Mr.  Willkie  has  already  had  quite  a  few  brickbats  on  this 
and  Colonel  McCormick  may  attract  similar  attention  for  his 

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pronouncing  such  words  as  "mobile”  with  the  long  "i"  -  "mo-bile". 

While  there  might  be  many  things  to  prevent  Mr,  Willkie 
and  Colonel  McCormick  from  making  an  old-fashioned  town-to-town 
series  of  debates  or  speeches  in  Illinois,  the  radio  seems  made  to 
order  to  accomplish  the  same  object,  Iifeiybe  this  is  one  of  the 
things  Gardner  Cowles,  Jr.,  prominent  Iowa  publisher  and  broadcaster 
who  has  Just  left  the  Office  of  War  Infonnation  to  help  Mr,  Willkie 
with  his  campaign,  has  in  mind.  Noboc3y  knows  better  than  Mr.  Cowles 
how  to  ring  all  of  the  changes  with  the  spoken  and  printed  word, 

A  Willkie-McComick  radio  debate,  whether  the  two  men 
actually  met  face  to  face,  whether  the  entire  nation  was  covered 
or  if  the  battleground  were  confined  to  the  State  of  Illinois,  might 
assume  the  present  day  interest  of  the  old  Lincoln- Douglas  debates 
over  the  slavery  issue  almost  a  century  ago  which  likewise  took 
place  in  Illinois  where  Abraham  Lincoln  and  Stephen  Douglas  were 
fighting  for  the  senatorship.  It  was  an  exciting  and  close  contest 
and  though  Mr,  Lincoln  lost,  it  brought  him  into  the  national  lime¬ 
light. 


A  McCormick-Willkie  radio  debate  might  be  carried  on  very 
effectively  by  using  only  Illinois  stations  but  our  guess  is  that 
if  it  were  ever  staged,  by  popular  request  it  would  be  a  national 
affair,  the  size  of  the  audience  would  be  that  of  a  presidential 
fireside  chat  and  a  grand  time  would  be  had  by  all, 

XXXXXXXX 


ARMY  DOES  AN  ABOUT  FACE  ON  RADAR  PUBLICITY 


"Off  again  -  on  again* " 

Although  a  Joint  Ariny-Navy  statement  last  April  apparently 
raised  the  ban  on  radar  publicity  and  the  Government  itself  set  the 
pace  by  releasing  reams  of  copy  on  it,  the  War  Department  has  again 
clamped  down  the  lid  and,  according  to  the  Radio  Manufacturers' 
Association,  future  radar  articles  in  the  press  will  be  more  sharply 
restricted. 


The  "about-face"  order  came  in  a  letter  from  Col.  John  T, 
Winterick  of  the  Signal  Corps,  head  of  the  Review  Branch,  War  Depart 
ment  Public  Relations  Department: 

"During  the  past  two  months  a  tremendous  amount  of  public¬ 
ity  has  been  devoted  to  the  subject  of  radar.  Some  of  the 
proposed  publicity  has  included  classified  information,  release 
of  which  would  be  of  great  value  to  the  enemy.  Other  types  of 
publicity  have  promoted  controversy  as  to  allocation  of  credit 
for  the  development  of  radar.  This  has  not  been  conducive  to 
cooperation  at  home  and  abroad  -  cooperation  which  is  essential 
to  the  winning  of  the  war. 


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7/90/43 


”It  Is  requested,  therefore,  that  publicity  and  advertis¬ 
ing  featuring  radar  be  discontinued.  Your  company* s  coopera¬ 
tion  in  this  matter  will  be  a  contribution  in  the  national 
interest.  ” 

All  of  which  sounds  a  trifle  like  closing  the  barn  door 
after  the  horse  has  been  stolen.  As  pointed  out  in  our  article, 
**Everybody  Goes  to  Town  on  Radar”  (June  25),  a  listening  post  tuned 
in  on  Berlin  heard  that  our  elaborate  descriptions  of  radar  had  even 
been  picked  up  by  Germany  and  were  to  be  re-broadcast  to  the  Axis 
nations  by  short-wave.  It  was  also  pointed  out  in  the  article  that 
it  appeared  to  be  bad  business  to  divulge  the  names  of  those  com¬ 
panies  manufacturing  radar  in  this  country  as  this  might  serve  as 
a  suggestion  to  saboteurs  to  blow  up  these  plants.  One  firm  went 
so  far  as  to  offer  pictures  of  radar  equipment  and  the  Government 
went  still  further  and  offered  sound  films  on  radar  for  exhibition 
in  plants  of  radio  and  radar  manufacturers.  If  enemy  aviators 
ever  got  here,  they  would  know  exactly  where  to  go  to  bomb  these 
factories  just  as  the  United  Nations  bombed  the  great  Zeppelin  works 
on  Lake  Constance  largely  engaged  in  making  radars  and  repeatedly 
bombed  the  Philips  Ra.dio  establishment  at  Eindhoven. 

At  that,  if  an  error  has  been  made  in  giving  radar  too 
much  publicity,  the  manufacturers  themselves  are  not  wholly  to  blame 
as  no  doubt  every  piece  of  copy  was  offered  to  one  or  another  of  the 
Government  censors  and  given  official  approval  before  publication, 

XXXXXXXX 


FCC  HEARINGS  GO  MERRILY  ALONG  DESPITE  WHITE  HOUSE  GAG 


Getting  far  more  attention  than  they  would  if  Congress 
were  in  session  (a  great  publicity  break  for  both  sides),  the  hear¬ 
ings  of  the  Federal  Communications  Commission  investigation  by  the 
special  House  Committee  headed  by  Representative  Eugene  Cox  (D),  of 
Georgia,  took  a  new  lease  on  life  Monday  despite  the  President *s 
gag  on  military  officials  who  had  previously  been  called  on  to  testi¬ 
fy,  and  in  spite  of  similar  balking  on  the  part  of  James  L.  Fly  of 
the  FCC,  ope  of  the  leading  men  in  the  show,  Mr,  Cox  said  lihat 
hearings  would  be  continued  throughout  the  week  and  if  so,  it  looks 
as  if  standing  room  only  will  be  at  a  premium.  Both  sides  have  been 
accused  of  seeking  the  headlines  but  whether  accidental  or  inten¬ 
tional  nobody  could  have  done  a  better  publicity  job  than  the  one 
who  got  the  bright  idea  of  holding  the  hearings  when  Congress  was 
not  in  session,  otherwise  with  big  war  stories  popping  all  over  the 
Hill,  the  FCC  investigation  might  have  been  lost  in  the  shuffle. 

The  most  serious  charge  was  made  by  Eugene  L,  Garey, 
Committee  Counsel,  that  the  FCC  manipulated  defense  appropriations 
in  Ways  that  Congress  had  not  intended.  He  said  that  FCC  duplica¬ 
tion  of  services  had  resulted  in  a  lost  of  $8,000,000  in  three  years. 


3 


7/20/43 


Mr.  Oarey  also  challenged  the  legality  of  approximately 
2/3  of  the  FCC  set-up  which  he  said  was  included  in  the  Radio  Intel¬ 
ligence  Division  and  the  Foreign  Broadcast  Intelligence  Service, 
Neither  he  said  had  been  authorized  by  executive  order  or  statute 
and  both  were  useless. 

Highlights  of  Monday's  sessions  included  the  following: 

Philip  C,  Hamblet,  Assistant  Director  of  Overseas  Opera* 
tions  of  the  Office  of  War  Information,  said  it  was  ”no  military 
secret”  that  the  Army  wanted  the  FBI's  staff  of  some  31  persons 
kicked  out  of  North  Africa,  The  unit  was  finally  transferred  on 
June  1  to  the  Psychological  Warfare  Branch  of  the  Army's  Intellig¬ 
ence  Service, 

Committee  Investigator  Harry  Barger  told  of  interviews 
with  military  and  naval  officers,  precluded  from  appearance  before 
the  Committee  by  a  White  House  gag,  in  which  the  Navy  in  particular 
voiced  its  objections  to  radio  intelligence  activities  of  the  FCC, 

The  Army  Transport  Command  was  quoted  by  Mr,  Barger  as 
having  absolutely  "no  use”  for  the  agency's  services  which  consume 
two  thirds  of  its  |8, 000, 000  annual  appropriations. 

Several  other  Government  agencies  "throw  the  FCC  material 
into  the  wastebasket",  Mr,  Barger  testified  he  was  informed. 

The  OWI  doesn't  use  the  FCC  service,  Mr.  Hamblet  testified, 
preferring  to  base  its  reports  on  the  actual  text  of  foreign  radio 
broadcasts.  The  witness  said  it  was  "possible”  that  the  FCC  summar¬ 
ies  were  colored  by  bias,  prejudices,  predilections,  and  political 
views  of  agency  employees. 

The  Coordinator  of  Inter-American  Affairs  wrote  the  FCC 
that  its  Latin- American  broadcast  analyses  wer*e  "no  longer  useful". 

Despite  this,  the  FCC  continued  to  expand  its  radio  intel¬ 
ligence  activities.  Committee  Counsel  Garey  asserted.  He  produced 
records  to  show  that  the  FCC  told  the  House  Appropriations  Committee 
on  one  occasion  it  needed  $558,000  for  148  new  employees  to  assist  in 
the  war  effort,  but  a  week  after  it  got  the  money  was  spending  it  for 
an  entirely  different  pupose, 

Mr,  Garey  declared  that  FCC  employees  were  required  to 
take  a  special  "oath  of  secrecy"  which  pledged  them  not  to  divulge 
any  information.  This  particular  "secrecy"  oath,  alleged  to  have 
been  made  up  by  the  FCC,  Mr.  Garey  charged  was  in  violation  of  the 
U,  S.  statutes  which  prohibit  interference  with  the  right  of  Civil 
Service  employees  to  petition  Congress  or  to  give  information  to 
a  Congressional  Committee  such  as  the  Cox  Investigating  Committee, 

Coming  back  at  Mr,  Fly  criticism  that  Admiral  S.  C, 

Hooper's  charges  were  those  of  an  "irresponsible  person",  Mr, 

Cox  said  that  Admiral  Hooper  had  "contributed  more  to  the  develop¬ 
ment  of  radio  than  any  man  since  Marconi", 


4  - 


7/20/43 


Mr.  Garey  read  a  commendation  of  Admiral  Hooper  from 
former  Secretary  of  the  Navy  Josephus  Daniels  which  said  the  naval 
officer  had  charge  of  construction  and  maintenance  of  all  Navy, 
Shipping  Board  and  commercial  radio  stations  during  the  World  War, 
and  said:  ’’The  Navy  and  the  country  as  well,  owe  a  large  debt  to 
Captain  Hooper  for  his  vision  as  to  the  early  recognition  of  the 
Importance  of  wireless  and  his  able  and  practical  efforts  to  broaden 
this  important  service, " 

Secretary  of  the  Navy  Swanson  wrote:  ”The  work  of 
Captain  Hooper,  as  evidenced  in  part  by  the  basic  letter,  places 
him  and  the  United  States  Navy  in  a  leading  position  throughout  the 
world  in  the  field  of  radio  communications,  ” 

XXXXXXXXX 


NEW  YORK  STATION  IMPORTS  RECORDS  FROM  ENGLAND 


A  new  way  to  by-pass  James  C.  Petri llo,  of  the  American 
Federation  of  Musicians,  in  his  effort  to  shut  off  new  radio  trans¬ 
criptions  is  being  tried  out  by  Station  WNEW  in  New  York  City 
Importing  records  from  England, 

The  idea  of  thus  securing  these  records  is  credited  to 
Martin  Block,  one  of  the  station's  announcers,  who  is  also  in  charge 
of  the  recordings, 

Mr,  Block  arranged  to  have  friends  in  England  mail  to  him 
new  records  made  there.  Some  records  have  been  brought  to  New  York 
by  plane  through  an  arrangement  which  Mr.  Block  worked  out  with 
overseas  acquaintances, 

”It's  all  perfectly  legal  and  within  our  rights  and  has 
nothing  to  do  with  the  ban  on  recording”,  a  station  spokesman  said. 

In  the  meantime  newspapers  keep  hammering  away  at  Mr, 
Petrillo,  In  an  editorial  entitled  "Giggle  Smokers”,  the  Washington 
Post  said: 


"The  departure  the  other  day  of  Mr.  Gene  Krupa,  the  hot 
jive  drummer,  for  the  San  Quentin  (Calif.)  Prison  has  aroused  a  new 
flurry  of  excitement  about  the  drug  called  marijuana.  There  seems 
to  be  very  little  doubt  that  the  smoking  of  marijuana  is  unhappily 
common  among  performers  of  Jazz  orchestras,  especially  those  of  the 
'hot'  (as  differentiated  from  the  'sweet')  variety.  There  is  prob¬ 
ably  also  some  measure  of  addiction  among  the  more  psychotic  patrons 
of  such  orchestras.  This  may  or  may  not  be  what  is  really  behind 
Mr.  J.  Caesar  Petrillo* s  war  against  Juke  boxes  and  phonograph 
recordings,  though,  if  it  is,  we  wish  that  he  would  come  out  and 
say  so.  It  wouldn't  improve  Mr.  Petrillo' s  position  among  his  own 
musicians,  probably,  but  it  might  raise  him  a  bit  in  the  estimation 
of  the  general  public,  " 


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Another  editorial  captioned  ’’Petrlllo'e  Arrogance” 
recently  appeared  in  the  New  York  Sun  and  read  as  follows: 

"Evidently  fortified  by  a  Supreme  Court  decision  that  he 
could  not  be  touched  by  injunctive  action,  James  C,  Petrlllo  now 
says  to  all  record  makers:  *We're  not  going  to  make  transcriptions 
for  you  at  all  any  more  because  you  haven' t  got  anything  we  want. ' 

It  is  interesting  to  recall  that  this  comes  six  months  after  Petrillc 
told  a  committee  of  the  Senate  that  he  was  prepared  to  enter  into 
negotiations  "immediately"  with  broadcasters  and  recording  companies 
to  end  the  ban  on  making  transcriptions  which  he  announced  last 
August,  He  then  said  he  would  be  satisfied  with  one  or  two  cents  a 
record  from  the  makers.  Now  -  brought  together  with  the  makers  and 
a  representative  of  the  United  States  Conciliation  Service  in  an 
effort  to  negotiate  an  agreement  -  he  declares:  'The  transcription 
people  tell  us  that  their  gross  business  is  $4,000,000,  that  they 
pay  musicians  $1,100,000  and  that  their  net  is  $250,000.  The  com¬ 
panies  can't  give  us  anything.  If  they  gave  us  their  entire  gross 
it's  still  small  peanuts  to  the  federation.* 

"Later  leadership  has  provided  many  striking  cases  of 
arrogance  in  recent  years,  but  few  that  equal  this  position  taken 
by  the  head  of  the  American  Federation  of  Musicians.  In  Petrillo's 
favor  it  must  be  admitted  that  when  it  was  proposed  to  refer  the 
controversy  to  the  War  Labor  Board  he  announced  his  decision  to 
abide  by  any  government  ruling,  observing  'No  John  L.  Lewis  stuff 
here. '  Now  that  the  dispute  has  gone  to  the  WLB  it  is  to  be  hoped 
that  he  has  not  suffered  a  change  of  heart.  Somehow  a  way  should  be 
found  to  obtain  Justice  for  the  recording  companies  and  the  public 
to  whose  entertainment  those  companies  cater. " 

xxxxxxxx 


MCDONALD  PLAN  SAVES  U. S.  MILLIONS  IN  ROYALTIES 


The  Government  is  saving  incalculable  millions  of  dollars 
in  royalty  payments  on  radio  patents  as  the  result  of  a  plan  propos¬ 
ed  to  the  Signal  Corps  by  Commander  E,  F,  McDonald,  Jr.  ,  President 
of  Zenith  Radio  Corporation  of  Chicago.  Under  this  plan,  which  has 
been  accepted,  it  was  said  by  all  but  three  or  four  of  the  country's 
manufacturers  of  radionlc  etpipraent,  each  company  has  granted  the 
government  a  free  license  for  the  duration  of  the  war  under  all 
patents  it  owns  or  controls. 

The  story  was  released  by  Hugh  Robertson,  Executive  Vice 
President  and  Treasurer  of  the  Company,  who  said  that  on  October  17, 
1941,  Major  (now  Colonel)  Donald  K.  Lippincott  called  on  Commander 
McDonald  stating  that  the  Government  was  still  trying  to  adjust 
patent  royalty  claims  incurred  during  the  1917-18  war,  and  was 
sounding  out  radio  manufacturers  on  a  plan  for  having  payments  made 
on  new  contracts  without  similar  confusion, 

-  6  - 


r.  - 


A  patent  pool  whereby  the  Government  would  allot  fixed 
royalties  to  radio  companies  had  been  suggested,  Mr,  McDonald  said 
that  in  his  opinion  we  would  be  into  the  next  war  before  the  Govern¬ 
ment  would  ever  get  radio  manufacturers  in  agreement  on  what  sum 
should  be  paid  the  radio  companies  for  the  use  of  their  patents. 

He  told  Major  Lipplncott  that  he  believed  the  Government  could 
obtain  free  that  which  it  could  not  buy. 

Commander  McDonald  pointed  out  that  a  patent  is  a  legaliz¬ 
ed  monopoly  granted  by  the  Government  to  individuals,  stated  that  he 
did  not  believe  this  monopoly  should  be  used  against  the  Government 
in  time  of  war,  and  suggested  that  the  Signal  Corps  obtain  a  free 
license  from  all  radio  companies  under  all  of  their  patents  during 
time  of  war.  As  President  of  Zenith  and  of  the  Wincharger  Corpora¬ 
tion,  he  was  the  first  to  offer  the  Government  such  a  free  license. 

The  Signal  Corps  followed  the  plan  suggested  by  Commander 
McDonald,  Mr.  Robertson  stated,  and  did  a  splendid  Job,  securing 
full  cooperation  from  all  but  th2?ee  or  four  radio  manufacturers. 

When  the  contract  was  submitted  to  Zenith,  Commander  McDonald  read 
it  and  said, 

"It  contains  one  superfluous  word  where  it  applies  the 
license  to  nations  with  which  the  United  States  is  now  at  war.  The 
word  is  *now'.  By  Inclusion  of  this  word  the  Government  is  forced 
to  get  new  licenses  for  each  war.  If  that  war  happens  to  be  against 
any  nation  with  which  the  United  States  is  not  now  at  war.  Zenith 
stands  ready  to  sign  a  new  contract  with  this  word  eliminated.  If 
that  is  the  Government's  desire," 

Sometime  later  Col,  Conrad  E.  Snow  of  the  Signal  Corps 
wrote  to  Zenith, 

"Our  records  indicate  that  Commander  McDonald  was  the  first 
to  enunciate  substantially  the  plan  adopted,  and  the  Chief  Signal 
Officer  wishes  me  to  express  his  thanks  to  Commander  McDonald  and 
your  company  for  the  part  they  have  taken  in  the  matter.  " 

Mr,  Robertson  could  not  hazard  a  guess  at  the  amount 
actually  saved  the  Government,  but  said  that  with  production  of 
radionic  equipment  running  currently  at  the  rate  of  ^250,000,000  per 
month,  the  annual  savings  would  amount  to  millions  of  dollars,  in 
addition  to  the  post-war  freedom  from  tedious  litigation  of  the  sort 
which  followed  the  last  war, 

XXXXXXXXXX 
CONGRESSMAN  SEEKS  SENATOR  TOBEY* S  SEAT 

Representative  Stearns  (R),  of  New  Hampshire  will  run 
against  Senator  Tobey  (r).  New  Hampshire  who  will  come  up  for  re- 
election  next  year.  Senator  Tobey  is  a  very  active  member  of  the 
Interstate  Commerce  Committee  which  passes  on  radio  legislation  in 
the  Senate,  Anyone  who  has  seen  Senator  Tobey  in  action  at  radio 
hearings  can  imagine  the  fight  he  might  put  up  in  a  campaign.  It 
will  be  a  contest  well  worth  watching. 

xxxxxxxx 

-  7  - 


7/20/43 


CALLS  HOUSE  FCC  COMMITTEE  TECHNIQUE  "SMEAR  FORMULA" 


Continuing  its  campaign  against  Representative  Cox  (D), 
of  Georgia,  the  Washington  Post  in  an  editorial  "Smear  Formula" 
said: 


"Anyone  who  has  followed  the  Cox  Committee* s  •investiga¬ 
tion’  of  the  FCC  could  have  figured  out  for  himself  the  strategy  on 
which  it  was  based.  Make  the  headlines  with  sensational  charges  and 
never  give  the  victim  an  opportunity  to  reply.  It  is  not  a  new 
formula,  although  it  has  rarely  been  followed  with  such  transparency. 
No  one  should  be  greatly  astonished,  therefore,  at  the  evidence 
recently  revealed  by  FCC  Chairaan  Fly  that  the  Cox  Committee  has 
pursued  such  a  course  in  accordance  with  deliberate  instructions 
from  its  general  counsel, 

"Mr,  Fly  made  public  a  memorandum  which  he  declared  was 
confidentially  circulated  among  the  Cox  committeemen.  The  memoran¬ 
dum  laid  down  certain  ’principles*  to  govern  the  Committee’s  pro¬ 
ceedings.  ’These  "principles",’  it  said,  ’are  carefully  designed 
to  accomplish  two  results:  (1)  The  seizure  of  the  headlines;  (2) 
by  adroit  use  of  the  gavel,  the  effectuation  of  the  principle  that 
the  committee  must  keep  the  Commission's  side  of  the  case  from 
reaching  the  public. ’  If  any  further  evidence  were  needed  to  demon¬ 
strate  the  unfitness  of  the  Cox  Committee  to  conduct  an  impartial 
inquiry,  here  it  is  with  a  vengeance, " 

XXXXXXXX 


DAVID  ROSENBLUM,  FORMER  NBC  VICE-PRESIDENT,  DIES 


David  Rosenblum,  who  in  1934  was  Executive  Vice  President 
of  the  National  Broadcasting  Company,  and  from  1935-6  was  also  its 
Treasurer,  died  in  Hartford  Sunday  at  the  age  of  55.  Mr.  Rosenblum 
was  one  of  the  organizers  of  the  Business  Training  Corporation, 
which  was  devoted  to  personnel  training.  Next  he  established 
Tradeways,  Inc.,  a  firm  pioneering  in  business  research  and  con¬ 
sultation. 


Returning  from  a  one-year  world  cruise  in  1938,  he  became 
Treasurer  and  Business  Manager  of  The  New  York  Post.  In  1941  he 
retired. 


While  at  Harvard,  Mr.  Rosenblum  was  a  member  of  the 
editorial  staff  of  The  Crimson.  In  the  first  World  War  he  served 
as  Second  Lieutenant  with  the  heavy  artillery. 

XXXXXXXX 


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7/20/43 


SAYS  PALACE  OUARD  GAVE  FDR  POOR  ADVICE  IN  FCC  CASE 


Differing  from  most  of  the  newspaper  writers  thus  far 
heard  from,  George  Rothwell  Brown,  top  fli^t  Washington  correspond¬ 
ent,  whose  column  is  widely  syndicated,  has  this  to  say  about  the 
now  famous  case  of  Messrs,  Watson  and  Dodd,  Jr.,  Federal  Communica¬ 
tions  Commission  officials,  and  Dr.  Lovett  of  the  Virgin  Islands: 

•'Rarely  has  the  President  been  so  poorly  advised  by  the 
palace  guard  as  in  the  matter  of  his  attack  upon  Congress  for  pre¬ 
suming  to  remove  from  the  Federal  payroll  three  employees  of  proved 
connection  with,  or  sympathy  for  the  principles  of  various  subvers¬ 
ive  organizations. 

"Mr,  Roosevelt  has  chosen  a  battleground  with  Congress 
on  which  he  is  beaten  before  he  starts, 

"He  has  deliberately  chosen  a  course  which  may  lead  to 
the  most  sensational  rupture  between  White  House  and  Capitol  since 
Andrew  Johnson, 

"He  has  made  certain  that  the  bad  relations  between 
President  and  Congress  will  continue  and  become  intensified  after 
the  present  recess, 

"The  President  in  his  press  conference  statement  made  no 
reference  to  the  fact  that  a  special  House  committee,  after  investi¬ 
gation  and  hearing  of  the  three  employees,  had  substantiated  the 
charges  that  they  had  belonged  to  subversive  organizations, 

"In  spite  of  this  investigation  and  the  action  of 
Congress  the  President  chose  to  embrace  the  three  men  so  Indicted 
by  Congress,  thus  on  the  eve  of  his  fourth-terra  campaign  creating  in 
the  public  mind  the  picture  of  a  political  alliance  between  the 
New  Deal  and  the  Communist  front. 

"The  President  declares  the  'rider'  by  which  Lovett, 

Watson  and  Dodd  are  to  be  dropped  from  the  public  service  unless 
by  November  15  they  have  been  nominated  by  the  President  for  their 
Jobs,  and  confirmed  by  the  Senate,  to  be  unconstitutional, 

"Yet,  and  the  fact  is  inescapable,  knowing  this  provision 
to  be  in  contravention  of  the  Constitution,  he  signed  the  act  of 
Congress  containing  it,  and  thus  made  it  part  of  the  law  of  the 
land, 

"Thereupon  the  President  Intimated  to  his  press  confer- 
ence  -  and  all  the  published  reports  agree  on  this  -  that  the 
executive  and  legislative  branches  of  the  Government  would  not  be 
bound  by  this  action  of  Congress, 

"This  can  only  mean  that  the  President  of  the  United 
States,  the  executive  branch,  charged  with  the  execution  of  laws 
passed  by  the  Congress  in  the  constitutional  way,  will  defy  the 
Congress, 

"There  can  be  no  other  explanation  of  the  President's  inti¬ 
mation  that  these  three  men  will  not  lose  their  Jobs, 

"Here  the  President  has  been  led  onto  very  unsound  ground 
by  his  palace  professors, 

"Actually  the  President  is  in  an  awkward  situation  from 
which  he  can  be  taken  by  only  one  thing  -  the  confirmation  of  these 
three  men  by  the  Senate,  That  alone  can  save  the  President's  face 
now,  for  these  reasons. 


9 


h 


7/20/43 


•'The  law  he  has  now  signed  says  these  men  shall  be  drop¬ 
ped  unless  he  nominates  them.  Thus  the  President  must  act  by 
November  15,  or  out  these  men  go.  They  will  go  for  the  reason  that 
if  by  November  15  they  have  not  been  confirmed  by  the  Senate  there 
will  be  no  authority  for  the  payment  to  them  of  their  salaries. 

The  Comptroller  General  will  so  rule.  He  will  have  to. 

"Now,  after  such  a  ruling,  these  men  cannot  be  retained 
in  their  Jobs.  There  is  a  Federal  law  against  working  for  the 
Government  without  compensation, 

"Suppose  meanwhile,  a  way  is  found  whereby  the  courts 
step  in  and  say  the  dropping  of  these  men  is  unconstitutional.  You 
can’t  tell  what  the  courts  will  do  nowadays. 

"What  then?  Even  so  they  wouldn't  be  able  to  draw  a  dollar 
of  pay  unless  Congress  appropriated  it,  and  Congress  won’t. 

"Mr,  Roosevelt  has  clean  forgotten  the  great  appropriation 
power  of  the  Congress. 

"One  thing  more,  the  President  said  there  was  no  sugges¬ 
tion  that  these  three  men  were  not  competent  and  loyal. 

"On  the  contrary,  the  House  of  Representatives  has  adopted 
a  resolution  holding  them  to  be  unfit  to  continue  in  the  publlo  ser¬ 
vice. 

"The  President  falls  into  the  error  of  supposing  these  men 
could  have  been  removed  only  by  impeachment.  They  do  not  fall  with¬ 
in  the  category  at  all. 

"Mr,  Roosevelt  has  gone  to  the  mat  with  Congress  on  a  weak 
case.  As  he  will  learn, " 

xxxxxxxxx 


TRADE  NOTES  ; 


The  Radio  Manufacturers’  Association  and  the  Institute  of 
Radio  Engineers  Committee,  which  is  considering  the  organization  of 
the  proposed  Radio  Technical  Planning  Agency,  will  meet  again  in 
about  two  weeks.  It  is  expected  that  there  will  be  an  agreement  on 
the  proposed  plan  at  an  early  date. 


Attention  of  radio  Jobbers  was  called  to day (  Tuesday )  to 
the  fact  that  they  may  apply  for  relief  to  the  War  Production  Board 
on  Form  PD-470  listing  frozen  stocks  of  copper  wire  mill  products 
by  amounts,  sizes  and  types  which  cannot  be  sold  in  accordance  with 
CMP  Regulation  4,  It  should  be  pointed  out  that  in  the  event  an 
application  should  be  approved  by  WPB,  copper  wire  sold  under  such 
authorization  cannot  be  replaced  in  stock. 


Elizabeth  Knowlson,  daughter  of  James  S.  Knowlson,  former 
President  of  the  Radio  Manufacturers'  Association,  and  Mrs,  Knowlson 
was  married  last  Saturday  at  Hinsdale,  Ill.,  to  Lieut.  Walter  A, 
Edwards,  Mr,  Knowlson  was  formerly  a  right-hand  man  of  Donald 
Nelson  in  the  WpB, 


10 


7/20/43 


James  0.  Rogers,  Jr.  has  been  appointed  an  Assistant  Dir¬ 
ector  of  the  Domestic  Branch  of  the  Office  of  War  Information  by 
Palmer  Hoyt,  Director  of  Domestic  Operations.  I.!r.  Rogers  went  with 
OWI  in  January,  1943,  as  a  Deputy  Director.  Previous  to  that,  he 
was  associated  with  the  advertising  firm  of  Benton  «Sb  Bowles  in  New 
York,  where  he  was  Vice-President  and  General  Manager. 

As  Assistant  Director  of  the  Domestic  Branch,  Mr.  Rogers 
will  be  in  charge  of  the  coordination  of  the  information  programs 
and  the  different  bureaus  involved  in  that  work. 


Columbia  Broadcasting  System,  Inc.,  Brentwood,  L.I.,N.Y. , 
has  applied  to  the  FCC  for  a  construction  permit  for  a  new  inter¬ 
national  broadcast  station  to  be  operated  on  6060,  6120,  6170,  9650, 
11830,  15270,  17830,  21520  and  21570  kilocycles,-  50  kilowatts  power 
and  unlimited  hours  of  operation  except  share  time  on  all  frequen¬ 
cies  with  WCRC,  WCBX  and  WCDA;  also  share  time  on  6060  kilocycles 
with  KWID  and'KWIX;  use  6120  kilocycles  by  special  authorization. 


In  newspaper  and  magazine  advertisements  and  through  radio 
broadcasts,  R,  H.  Tlllson,  trading  as  Isabelle  Beautetlcs  Co.,  and 
as  R,  H.  Tillson  Co.,  4058  Wyoming  St.,  St.  Louis,  engaged  in  sell¬ 
ing  a  cosmetic  designated  "Velskin”,  is  charged  in  a  complaint  issu¬ 
ed  by  the  Federal  Trade  Commission  with  misrepresenting  the  proper¬ 
ties  and  effectiveness  of  the  preparation. 


In  starting  its  drive  to  sway  Congress  towards  a  more 
sympathetic  view  to  labor  and  to  weed  out,  if  possible,  those  who 
voted  to  over-ride  the  veto  of  Congress  in  the  anti- strike  bill, 
the  CIO  is  urging  its  members,  among  other  media,  to  use  radio  prO' 
grams. 


For  the  first  time  in  the  history  of  Teachers  College  at 
Columbia  University,  college  and  high  school  music  teachers  from  all 
sections  of  the  country  taking  post-graduate  Summer  courses  there 
are  receiving  credits  for  studies  integrated  with  radio  programs. 

One  of  the  five  weekly  classroom  sessions  is  being  held  in 
NBC*s  Radio  City  studios,  where  the  150  teachers  taking  the  course 
listen  to  broadcasts  of  '^^usic  at  War”  and  hear  lectures  by  Dr, 
Gilbert  Chase,  music  specialist  of  the  NBC  Public  Service  Department. 


Baylor  University  and  Carr  P,  Collins,  Corpus  Christ!, 
Texas,  granted  construction  permit  for  a  new  station  to  operate  on 
1010  kilocycles,  50  kilowatts,  directional  antenna,  from  daytime  to 
sunset  at  Little  Rock,  Arkansas. 

KFMB,  Worcester  Broadcasting  Corp. ,  San  Diego,  Cal.,  appr¬ 
oved  amended  application  for  consent  to  transfer  control  of  the 
Worcester  Broadcasting  Corp.  from  the  Estate  of  Warren  B.  Worcester, 
deceased,  to  the  First  National  Trust  and  Savings  Bank  of  San 
Diego,  and  renewal  of  license  application  for  a  period  of  one  year. 


During  its  six  months  on  the  air  ”Hired  Hand  Exchange”, 
a  feature  of  General  Electric’s  Station  WGY,  was  able  through  co¬ 
operation  with  the  United  States  Employment  Service,  to  fill  45  per 
cent  of  all  the  employment  requests  received,  A  total  of  716 
requests,  407  for  farm  help  and  309  for  farm  Jobs,  was  received  by 
WGY  between  January  1  and  June  30  of  this  year, 

XXXXXXXX 


Heinl  Radio  Business  Letter 

2400  CALIFORNIA  STREET  WASHINGTON,  D.  C. 


NATIONAL  BROADCASTING  COMPANY,  iNC. 
GENERAL  LIBRARY 

30  ROCKEFELLER  PLAZA,  NEW  YORK,  N,  Y. 


INDEX  TO  ISSUE  OF  JULY  23,  1943 


Craven  Risking  Reappointment  Tells  Committee  Plenty . . . 1 

Asks  U.  S,  To  Pay  Him  $100,000  For  Radar  Patent . 3 

Fly  Calls  FCC  Investigation  Charlie  McCarthy  Act . 4 

Asks  Broadcasters  To  Shoulder  Burden  In  OWI  Slash . 5 

WLB  Takes  Petri llo  Case;  Record  Making  Not  Resumed . 7 

Press-Radio  Gag  On  200,000  AAA  Workers.,.,, . 8 

U.  S,  Broadcast  Rome  Bombing  News  Within  8  Minutes., . 9 

Television  Pramlsed  For  All  After  The  War . 10 

Trade  Notes . . . 11 


No.  1547 


•  i  .  ,  J 


CRAVEN  RISKING  RE APPO INDENT  TELLS  COMMITTEE  PLENTY 


Notwithstanding  the  fact  that  he  is  up  for  reappointment 
next  year  and  that  President  Roosevelt,  who  will  do  the  appointing 
is  bitterly  opposed  to  the  House  investigation  of  the  FCC  and 
evidently  even  against  allowing  the  Commissioners  to  do  anything 
to  further  it.  Commissioner  T. A. M.  Craven,  a  Democrat,  took  his 
political  life  in  his  hands  by  cooperating  with  the  House  Committee 
in  answering  all  questions  freely  thereby  proving  the  most  damaging 
witness  to  Chairman  Fly  and  the  Federal  Communications  Commission 
that  has  yet  been  heard.  Thus  the  Investigation  continued  to  hit 
the  front  pages  throughout  the  week. 

Representative  Cox  ( D)  of  Georgia,  mainspring  of  the 
probe,  and  Eugene  L.  Garey,  the  Committee’s  counsel,  lost  no  oppor^- 
tunity  to  pour  gasoline  on  the  fire  every  now  and  then.  For 
Instance,  Mr,  Garey  sharply  criticising  the  FCC  for  withholding 
Information  from  the  Committee  by  labeling  certain  letters  confi¬ 
dential,  said: 

"Labeling  those  letters  confidential  was  a  pure  matter 
of  hooey,  ”  Mr.  Cox  declared  it  was  Just  another  way  to  smother 
material,  "a  secret  mutiny  against  the  authority  of  Congress”. 

The  Georgia  Congressman  also  said: 

"Information  comes  to  me  daily  by  letter  and  word  of 
mouth  that  broadcasters,  big  and  small,  and  radio  chains  live  in 
mortal  fear  of  the  FCC  and  that  its  licensing  power  is  being  used 
to  destroy  free  radio  and  free  speech, " 

Representative  Cox  pictured  Chairman  Fly  as  an  "autocrat" 
who  overrides  the  seven  man  Commission  although  the  law  gives 
each  Commissioner  equal  power, "  By  way  of  confirming  this,  Mr,  Garey 
asked  Commissioner  Craven: 

"Frankly  Fly  dominates  the  Commission,  doesn't  he?" 

"Yes,  he  does",  was  the  reply,  "and  they  usually  let  him 
get  away  with  it.  The  votes  are  usually  5  to  2,  I  wish  the  other 
members  would  come  along  with  me  more  often.  " 

The  Commissioner  most  frequently  voting  with  Craven  is 
Governor  Case,  a  Republican,  Time  after  time  it  is  these  two 
against  the  field. 

Commissioner  Craven  said  prior  to  testifying  before  the 
House  Committee  he  had  been  warned  by  Mr.  Fly  not  to  make  any  dis¬ 
closures  violating  the  privacy  of  the  FCC  s  operations.  Craven 
said,  however,  that  he  had  not  received  word  from  the  President 


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with  regard  to  testifying.  He  suggested  that  the  Committee  con¬ 
sider  writing  into  the  law  a  definition  of  what  the  Chairman* s 
duties  are  ''so  that  we  will  never  have  a  repetition  of  the  situation 
as  it  exists  today, " 

No  one  could  have  been  more  amazed  apparently  than  Com¬ 
missioner  Craven  was  at  the  extent  of  the  foreign  operations  of  the 
FCC.  He  said  he  had  been  under  the  Impression  that  the  military 

"asked  us  to  help".  Later  he  heard  rumors  that  the  Joint  Chiefs 

of  Staff  had  recommended  that  the  FCC* s  military  intelligence  oper¬ 
ations  be  transferred  to  military  control  -  a  proposal  disclosed  by 
Mr,  Garey  two  weeks  ago  in  the  Committee's  first  session.  After 
hearing  the  rumors,  said  Commissioner  Craven,  he  asked  about  them 
in  a  Commission  meeting  and  was  assured  by  Chairman  Fly  that  "there 
was  nothing  to  it. " 

As  a  result,  he  said,  the  pronosal  of  the  joint  Chiefs 

of  Staff  was  a,  surprise  to  him.  He  said  he  thought  "something 

constructive"  could  be  done  along  the  line  of  the  prooosed  transfer 
of  the  FCC  foreign  service  to  the  Army  and  the  Navy, 

"I  think  the  FCC  should  remain  in  the  civilian  field  and 
the  military  should  remain  in  the  military  field.  I  know  of  no 
authority  in  the  Communications  Act  for  the  operation  of  FCC  listen¬ 
ing  posts  abroad”,  he  said, 

Mr,  Garey  charged,  however,  that  the  Army  had  requested 
but  one  expert  but  that  the  FCC  had  sent  many  more.  Commissioner 
Craven  said  that  he  was  "taken  completely  by  surprise”  on  learning 
that  the  FCC  had  30  representatives  in  North  Africa  whereas  he  had 
been  told  the  number  was  four.  He  said  the  number  of  employees  the 
FCC  had  in  Africa  had  never  come  before  the  Commission  as  far  as  he 
knew. 


Mr,  Garey  said  the  London  office  of  the  broadcast  intel¬ 
ligence  service  had  40  employees. 

"I  thought  they  had  eight",  said  Mr.  Craven. 

"Did  you  know  that  an  increase  in  the  London  staff  is 
contemplate d?asked  Mr,  Garey. 

"I  thought  there  would  be  a  decrease",  the  witness  replied. 

"Well,  let's  find  out  about  this  operation  in  London”, 
asked  Mr,  Garey, 

"You're  asking  the  wrong  man",  said  Mr.  Craven.  "I  don't 

know, " 

Dr,  Robert  Leigh,  Director  of  the  FCC  ^oreigh  Broadcast 
Service,  said  that  General  Eisenhower  had  made  the  original  request 
for  FCC  personnel  in  Africa  and  that  the  Commission  had  correspond¬ 
ence  to  prove  it. 


2  - 


:s:  J.  :  J 


7/23/43 


Getting  back  to  the  question  as  to  whether  the  FCC  is  run 
by  Mr,  Fly,  Garey  persisted;  “Does  the  Chairman  dominate  the 
Commission? ” 

"He  takes  a  leading  part”,  was  the  reply.  ”He  usually 
has  his  way.  He  is  a  very  strong  man. ” 

"They  are  not  as  strong  as  he  is?”  Inquired  the  counsel. 

"That’s  right”,  said  Mr.  Craven. 

Going  back  to  the  older  days  of  the  Commission,  Commander 
Craven  said  that  former  Chairman  Frank  R,  McNlnch  had  proposed  that 
"he  would  go  along  with  me  on  engineering  matters  if  I  would  in 
effect  give  him  ray  proxy  on  policy  matters.  ” 

Commissioner  Craven  said  his  answer  was  "No”, 

He  said  that  the  action  several  years  ago  of  the  FCC  in 
dismissing  its  General  Counsel,  Hampson  Gary,  was  "outrageously 
wrong”. 


Committee  Counsel  Garey  asked  whether  Mr.  Gary  had  been 
dismissed  "because  he  was  unwilling  to  lend  his  intellect  and 
integrity  to  the  purposes  the  Commission  wished  to  have  served?” 

"That  is  correct  in  ray  opinion",  said  Commissioner  Craven, 

Commissioner  Craven  charged  that  in  its  Judicial  processes 
the  FCC  organization  is  very  unsound  and  should  be  changed. 

X  X  X  X  X  X  X 


ASKS  U.S.  TO  PAY  HIM  $100,000  FOR  RADAR  PATENT 


Probably  the  first  of  a  long  procession  of  claimants,  F,  S. 
Chapman  of  Kenton,  Ohio,  is  demanding  $100,000  from  the  U,  S,  Govern¬ 
ment  on  the  ground  that  he  is  the  inventor  of  radar.  Chapman  made  a 
special  trip  to  Washington  for  the  purpose  and  set  forth  his  claim 
in  a  letter  to  Attorney  General  Biddle  saying  he  had  been  granted  a 
patent  on  it  in  1919,  reissued  in  1930,  Chapman  said  he  discovered 
the  radar  principle  while  serving  as  a  telegrapher  for  the  Wheeling 
&  Lake  Erie  Railroad  at  Massillon,  Ohio,  many  years  ago. " 

"Later",  he  said,  "I  furnished  the  plan  to  Admiral  W,  S, 
Benson,  Chief  of  Naval  Operations  in  1917-18. " 

In  his  letter  to  Attorney  General  Biddle,  Chapman  said; 

",  .  ,  It  should  be  well  over  $100,000  in  value  and  so,  to  save  time 
of  tabulators  who  should  be  on  war  work,  it  would  seem  to  be  okay  to 
pay  $100,000  now  and  the  remainder  later, " 

Chapman  said  about  Dr.  A,  Hoyt  Taylor  and  Leo  C.  Young  of 
the  Naval  Research  Laboratory,  "They  have  done  a  good  Job  develop¬ 
ing  it,  but  they  did  not  discover  it." 

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7/23/43 


FLY  CALLS  FCC  INVESTIGATION  CHARLIE  McCARTHY  ACT 


Having  the  last  word  as  the  House  Federal  Communications 
Commission  Investigating  Committee  adjourned  until  Monday, 

August  9,  Chairman  James  L.  Fly  of  the  FCC  declared  that  Repre¬ 
sentative  Cox  and  his  associates  had  done  exactly  what  he  had 
expected  them  to  do  in  getting  away  without  giving  him  (Fly)  or 
his  aides  a  chance  to  defend  themselves.  The  irate  FCC  head  des¬ 
cribed  the  Capitol  Hill  hearings  as  being  a  Charlie  McCarthy  act 
with  the  main  roles  taken  sometimes  by  Chief  Counsel  Eugene  Garey, 
and  his  Investigator  Harry  S,  Barger,  and  sometimes  by  Garey  and 
Mr.  Cox  himself. 

At  the  same  time  Chairman  Fly  gave  out  a  letter  which  he 
had  written  to  the  House  Committee  which  read: 

"in  the  record  of  the  hearings  on  Wednesday,  Congressman 
Cox  made  the  following  statement: 

"*Mr.  Fly,  the  Chairman  of  the  Federal  Communications 
Commission,  has,  according  to  press  reports,  been  in¬ 
sisting  that  the  Commission  be  given  opportunity  to 
put  its  position  on  record  as  regards  complaints  made 
against  it.  You  will  recall  we  had  Mr.  Fly  up  here 
about  10  days  ago  and  he  refused  to  talk.  So  the 
Committee  has  called  you  (Commissioner  Craven),' 

"I  am  not  conscious  of  ever  having  had  an  opportunity  to 
testify  before  your  Committee  on  any  of  the  various  matters  coming 
within  the  scope  of  the  resolution  adopted  by  the  Congress  to 
Investigate  the  Commission.  On  my  one  brief  appearance  before  the 
Committee  I  was  called  upon  to  produce  one  file  of  the  Board  of  War 
Communications, 

"l  cannot  but  reiterate  the  importance  of  the  full  Com¬ 
mittee  giving  to  me  and  the  Commission  a  prompt  hearing  on  the 
charges  which  the  Committee  has  made  -oubllc.  I  stand  ready  at  any 
time  to  apoear  before  the  Committee  and  I  again  want  to  urge  that  I 
be  given  this  full  and  complete  ooportunity  to  be  heard  at  an  early 
date,  I  shall  await  your  advices,  " 

Representative  Cox  said  that  Representative  Hart  (D),  of 
New  Jersey,  and  Representative  Wlgglesworth  ( R) ,  of  Massachusetts, 
as  a  subcommittee,  would  take  testimony  of  a  number  of  witnesses  in 
New  York  City  a  week  or  so  hence  with  regard  to  a  "Gestaoo"  which 
it  is  alleged  the  FCC  maintains, 

"There  is  nothing  to  that  but  another  headline",  Mr,  Fly 
charged,  "The  FCC  has  no  'Gestapo'  in  fact  has  not  enough  investi¬ 
gators  to  look  into  matters  that  should  be  investigated,  but  suggest¬ 
ed  that  the  topic  of  the  New  York  inquiry  might  be  foreign  language 
broadcasting, 

Mr.  Garey  said  the  FCC  had  forced  a  great  number  of  indi¬ 
viduals  off  the  air,  and  Chairman  Fly  said  "That’s  not  true,  a 

-  4  - 


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cou;--le  of  pro-Fascist  announcers  have  gone  off  the  air,  but  I  can't 
Imagine  really  what  Mr,  Garey  was  talking  about.” 

Three  times  in  the  Committee's  final  hearing,  FCC* s 
General  Counsel  Charles  R,  Denny  clashed  with  Chairman  Cox  in  an 
attempt  to  be  heard  on  two  topics.  Once  Mr.  Denny  Jumped  up  and 
challenged  Representative  Cox's  charge  that  the  FCC  had  made  public 
three  "secret”  letters,  and  a  suggestion  that  the  FCC  had  stripped 
its  files  to  hinder  the  House  investigation.  A  second  and  third 
time  Mr.  Denny  asked  Mr.  Cox  to  admit  to  the  record  letters  from 
Army  and  Navy  and  other  Government  officials  calling  the  FCC's 
Foreign  Broadcast  Intelligence  Service  valuable,  in  contradiction  to 
repeated  chargee  by  Mr.  Garey  that  the  Foreign  Broadcast  Intelli¬ 
gence's  and  the  Radio  Intelligence  Division  were  useless,  Mr.  Cox 
refused,  saying  instead  that  the  authors  of  the  letters  would  be 
called  at  the  Committee's  convenience  to  testify  under  oath. 

Commissioner  T, A. M,  Craven,  recalled  to  the  stand,  told 
the  Committee  that  in  his  opinion  Foreign  Broadcast  Intelligence's 
analyses  were  worthless  and  that  the  agency  would  be  better  under 
the  Office  of  War  Information,  provided  it  continued  to  serve  other 
Government  agencies.  He  agreed  with  Mr.  Garey  that  the  Radio 
Intelligence  Division  had  competed  with  the  armed  forces  for  criti¬ 
cal  materials  and  men,  declaring,  however,  that  at  the  outset  of 
the  war  it  had  done  a  tremendously  useful  work  for  the  armed  forces, 
but  one  that  should  now  be  turned  over  to  the  armed  forces  if  they 
wanted  the  Job, 

Mr,  Fly  refused  to  comment  on  Commander  Craven's  testi- 
monty  "in  any  way", 

XXXXXXXX 


ASKS  BROADCASTERS  TO  SHOULDER  BURDEN  IN  OWI  SLASH 


Office  of  War  Information' s  domestic  radio  budget  has 
looped  off  by  one-third  and  Donald  D,  Stauffer,  Chief  of  the  Domest¬ 
ic  Radio  Bureau,  says  that  this  means  the  broadcasters  will  have  to 
shoulder  a  bigger  burden  than  ever  before. 

In  a  message  to  the  industry  and  to  the  Advertising 
Council,  Mr,  Stauffer  disclosed  that  while  most  of  the  work  will 
be  carried  on,  the  field  offices  are  out,  and  the  Station  Relations 
Divisions,  slightly  enlarged,  will  take  over  the  task  of  servicing 
and  advising  local  broadcast  outlets. 

"With  our  reduced  budget  and  operating  staff,  we  shall, 
of  course,  have  to  ask  for  even  more  cooperation  from  the  radio 
Industry  than  we  have  heretofore",  Mr.  Stauffer  said.  "In  some 
regions,  voluntary  committees  of  broadcasters  under  the  general 
guidance  of  the  Radio  Bureau's  consultants  have  already  been  set  up 
to  supplement  and  implement  the  activities  of  our  small  Station 
Relations  branch  offices.  Wherever  such  cooperative  efforts  can  be 

-  5  - 


7/83/43 


worked  out,  they  will  obviously  strengthen  the  orderly,  intelligent 
use  of  available  radio  facilities, " 

’’Within  our  present  budget  we  shall  be  able  to  continue 
the  network  allocation  plan  on  exactly  the  same  basis  as  we  have  in 
the  past.  Therefore,  there  will  be  no  need  for  advertisers  or  net¬ 
works  to  consider  requests  direct  from  the  various  government  agen¬ 
cies,  As  in  the  past,  we  shall  be  able  to  function  as  the  central 
clearance  point  for  all  requests  for  cooperation  on  network  commer¬ 
cial  and  sustaining  programs. " 

"There  are  sufficient  funds  in  the  budget  to  carry  on  the 
Station  Announcement  Plan,  insofar  as  the  Washington  end  of  the 
operation  is  concerned.  One  set  of  transcribed  announcements  will 
continue  to  be  sent  regularly  from  OWI  to  all  stations.  The  announ¬ 
cements  formerly  sent  from  the  OWI  field  offices  will  be  sent  from 
the  extended  station  relations  operation  described  below, " 

"Those  network  commercial  and  sustaining  programs  which 
have  offered  to  do  work  on  behalf  of  the  Government  over  and  above 
the  regular  Allocation  Plan,  will  continue  to  be  serviced  by  the 
Special  Assignment  Division,  No  changes  have  been  made  in  the 
organization  or  staff  of  this  division. " 

"There  will  be  no  change  in  the  personnel  or  functions 
of  the  Chicago,  New  York  and  Hollywood  offices  of  the  Domestic  F^-dio 
Branch." 


"As  you  know,  the  field  offices  of  the  OWI  Domestic  Branch 
formerly  supplied  the  same  service  in  the  field  that  the  Washington 
office  of  the  Domestic  Radio  Bureau  furnished  nationally.  This  in¬ 
cluded  the  clearance  of  all  material  put  on  local  stations  by  the 
field  offices  of  all  government  agencies  and  the  sending  to  local 
stations  of  regional  spot  announcements  to  supplement  announcements 
sent  by  the  Washington  Domestic  Radio  Bureau, 

"Since  the  field  service  has  been  abolished,  the  Station 
Relations  Division  will  add  12  members  to  its  staff.  The  job  of  these 
new  members  of  the  Station  Relations  Division  will  be  to  service 
local  stations  and  the  field  offices  of  the  several  government  agen¬ 
cies  as  nearly  as  possible  as  it  was  done  by  the  OWI  field  offices. 
Obviously  with  a  limited  staff  (approximately  12  people),  it  will  be 
Impossible  to  furnish  all  of  the  services  formerly  offered, 

"However,  the  new  members  of  the  Station  Relations  Division 
will  be  able  (1)  to  clear  all  new  programs  supplied  by  the  field  of¬ 
fices  of  the  government  agencies,  (2)  to  be  central  clearing  point 
for  announcements  proposed  by  government  agencies  to  local  stations; 
and  (3)  to  service  requests  of  local  stations  for  information  and 
guidance  insofar  as  this  operation  can  be  carried  on  with  limited 
personnel. " 

"We  have  cancelled  the  ♦Victory  ^arade’  series  which  was 
to  have  replaced  the  old  ’Uncle  Sa.m'  series.  With  the  exception  of 
the  Station  Announcement  Plan,  the  only  transcription  activities 


6— 


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7/23/43 


that  will  be  carried  on  by  this  office  in  the  future  will  be  in 
those  cases  where  a  specific  local  or  regional  problem  has  to  be 
met  by  the  use  of  transcribed  programs,  and  other  facilities  are 
not  available  for  disseminating  this  information. 

"Generally  speaking,  we  shall  rely,  as  we  have  in  the 
past,  on  the  radio  industry  to  prepare  and  broadcast  material  in 
behalf  of  the  government.  Our  function  essentially  will  be  to  fur- 
nlsh  the  most  complete  and  accurate  information  that  we  can  assemble, 
and  distribute  it  to  the  radio  industry  either  directly  or  through 
the  Station  Relations  Division,  " 

"Under  the  supervision  of  the  Station  Relations  Chief, 
all  special  events  will  continue  to  be  placed  by  the  Time  Clearance 
Section,  The  four  major  networks  have  requested  that  time  for 
speeches  of  all  Government  officials  also  be  cleared  through  OWI, 

As  in  the  past,  requests  for  radio  time  by  government  agencies  to 
present  special  events  should  be  made  to  the  Chief  of  the  Government 
Liaison  Division,  who  in  turn  will  transmit  the  request  to  the 
Station  Relations  Division.  " 

XXXXXXXXXX 


WLB  TAKES  PETRILLO  CASE;  RECORD  MKING  NOT  RESUMED 


The  War  Labor  Board  decided  Thursday  to  take  Jurisdiction 
over  the  dispute  between  James  C,  Petrlllo  but  pending  a  further 
investigation  no  resumption  of  the  making  of  transcriptions  has  been 
ordered. 


Mr.  Petrillo  in  New  York  said  that  the  WLB  action  indicat¬ 
ed  they  simply  wanted  to  consider  the  matter  further  and  seemed  to 
regard  it  as  a  victory*  Also  the  Music  Federation  president  appear¬ 
ed  pleased  that  the  Navy  had  declined  his  offer  to  make  records  free 
for  the  sailors  evidently  not  considering  them  necessary  for  morale. 
Mr,  Petrillo  had  made  this  same  contention  but  offered  free  records 
after  Elmer  Davis  and  other  government  officials  argued  that  the 
recording  ban  was  harming  morale. 

Capt,  R.  A,  Koch,  Special  Assistant  to  the  Chief  of  the 
Bureau  of  Navy  Personnel,  said,  wrote  Mr,  Petrillo,  that  "any  plan 
duplicating  present  facilities,  in  view  of  current  shortages  of 
materials,  would  not  appear  to  be  essential  to  the  allout  prosecu¬ 
tion  of  the  war  effort, " 

Mr,  Petrillo  said  he  had  not  yet  received  the  Army*s  reply 
to  his  offer. 

The  War  Labor  Board  decided  to  select  an  investigator  to 
probe  further  into  the  merits  of  the  transcription  dispute  -  revolv¬ 
ing  around  the  refusal  of  Petrillo* s  union  to  make  any  more  radio 
transcriptions  -  and  decide  whether  the  action  is  in  effect  a 
"strike ", 


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Mr,  Petrlllo  contended  at  a  WL3  hearing  that  his  men 
were  not  on  strike  -  that  they  merely  de  cided  to  quit  working  for 
the  transcription  companies  more  than  a  year  ago  and  did  not  intend 
to  seek  further  employment  with  them.  Pointing  out  that  the  trans¬ 
criptions  were  destroying  work  opportunities  for  musicians,  he  said, 
"We  are  not  going  to  play  our  own  funeral  march  any  more, ” 

If  the  Board  finds  that  a  strike  exists,  its  policy  would 
require  it  to  order  the  men  back  to  work  pending  settlement  of  the 
dispute.  The  companies  had  asked  the  Board  to  assume  Jurisdiction 
and  order  Petrillo  to  resume  the  manufacture  of  transcriptions. 
Petrillo  contended  that  the  Board  lacked  Jurisdiction, 

A.  Walter  Socolow,  attorney  for  the  transcription  compan¬ 
ies,  expressed  surprise  in  New  York  that  the  WLB  had  accepted  juris¬ 
diction  without  ordering  the  musicians  back  to  work. 

"This  is  all  the  more  extraordinary  In  the  present  case 
since  Mr,  Petrillo  announced  in  advance  that  he  did  not  intend  to 
comply  with  any  ruling  of  the  Board",  Mr.  Socolow  said.  "The  elec** 
trlcal  transcription  companies  are  thus  placed  in  a  position  of 
proceeding  with  what  is  in  effect  an  arbitration  when  they  have  pro¬ 
mised  to  abide  by  the  decision,  but  the  other  party  has  announced  in 
advance  that  he  intends  to  disregard  the  result  if  he  does  not  like 
it.  " 


xxxxxxxx 

PRES 3- RADIO  OAG  ON  200,000  AAA  WORKERS 


The  War  Food  Administration  clamped  the  censorship  lid 
down  on  the  200,000  State  Agricultural  Appropriations  Act  employees 
prohibiting  speeches  boosting  or  criticising  the  Congressional  farm 
program.  Answering  of  inquiries  is  limited  to  responding  to  queries 
of  individual  farmers. 

The  order  forbids  AAA  employees  to: 

"Furnish  releases,  photographic  prints,  illustrations  or 
mats  to  the  press. 

"Furnish  prepared  scripts  or  transcriptions  for  radio 
broadcast  or  appear  on  radio  programs. 

"Prepare,  distribute  or  exhibit  motion  pictures. 

"By  word  of  mouth,  in  Individual  contacts  or  before  groups, 
carry  on  promotional  activities  for  the  purpose  of  enhancing  the 
prestige  of  the  AAA  as  an  institution,  or  of  indoctrinating  a  phil¬ 
osophy  relating  to  the  general  principles  of  AAA  programs,  or  of 
building  public  pressure  for  or  against  Congressional  action  on 
agricultural  measures, " 

XXXXXXXXXX 
-  8  - 


7/23/43 


U,  S.  BROADCAST  ROME  BOILING  NEWS  WITHIN  8  MINUTES 


According  to  the  Office  of  War  Information,  American  radio 
began  telling  the  people  about  the  bombing  of  Rome  about  8  minutes 
after  it  happened. 

The  broadcasts  breaking  the  big  story  to  Europe  originated 
in  New  York,  The  news  was  flashed  to  Algiers  by  the  radioman  in  the 
first  American  bomber  over  Rome.  Array  headquarters  in  North  Africa 
relayed  it  to  the  Pentagon  Building,  from  where  it  was  transmitted 
to  OWI  in  New  York  by  telephone.  This  triple  play  covered  some 
4,000  miles.  Eight  minutes  after  the  first  bomb  was  released  the 
news  had  sped  another  3,000  miles  back  to  Europe. 

The  United  States  station  in  Algiers  started  transmitting 
by  medium  wave  to  Italy  at  the  time  our  short-wave  stations  flashed 
the  reports  from  New  York. 

The  Array  arranged  for  the  first  plane  to  notify  them  in 
North  Africa  at  the  precise  moment  the  bombardier  pressed  his 
release.  The  flash  was  sent  at  5:13  A.M.  Monday,  EWT.  By  5:21  A.  M. 
OWI  was  on  the  air  with  the  news  from  New  York,  Officials,  of 
course,  were  standing  by  at  the  Pentagon.  OWI  kept  a  full  crew  all 
night  at  its  overseas  headquarters  in  New  York  to  await  the  news. 

This  is  the  way  it  was  handled  on  this  side.  Approxi¬ 
mately  five  hours  ahead  of  the  attacks,  officials  in  New  York 
received  by  courier  a  sealed  envelope  from  Robert  E,  Sherwood,  head 
of  0Wl*s  overseas  branch  in  Washington,  Later  they  were  notified 
by  Mr.  Sherwood  to  open  the  letter.  It  described  what  was  going  to 
happen  ajid  contained  background  for  guidance  on  the  propaganda  line 
to  be  taken.  The  office  set  to  work  to  prepare  material  for  the 
broadcasts. 


At  5  A.M.  a  direct  telephone  line  was  opened  between  the 
Pentagon  Building  and  OWI  in  New  York.  When  the  flash  was  received, 
three  of  our  transmitters  were  on  the  air  with  regular  programs,  one 
beamed  to  Gennany  and  Central  Europe,  another  to  France  and  the 
third  to  North  Africa  in  Spanish,  The  programs  were  immediately 
interrupted  for  the  big  news, 

XXXXXXXXXX 


Randolph  C.  Walker,  President  of  the  Aircraft  Accessor¬ 
ies  Corporation  said  in  New  York  that  the  corporation  had  acquired 
controlling  interest  in  the  Phonette  Company  of  America,  a  Los 
Angeles  concern  engaged  in  the  manufacture  of  radio  eqaipment, 
Phonette  will  be  operated  as  a  subsidiary  by  the  Electronics  Divi¬ 
sion  of  Aircraft  Accessories,  which  operates  plants  in  Kansas  City, 
Kan. ,  and  Slater,  Mo. 


XXXXXXXX 


-  9 


. :  V  i 


4 


7/23/45 


TELEVISION  PROMISED  FOR  ALL  AFTER  THE  WAR 


Television  will  "be  ready  for  every  family *s  use  ’’immedi¬ 
ately  after  the  war",  Ralph  R.  Beal,  Research  Director  for  the  Radio 
Corporation  of  America,  said  without  reservation  yesterday  in  New 
York,  according  to  an  Associated  Press  dispatch. 

Home  receiving  sets  in  any  desired  size  with  "screens" 
from  6  to  24  inches  in  width  will  be  available  to  purchasers,  lUr, 

Beal  said,  "within  the  shortest  space  of  time  required  to  reconvert 
the  radio  manufacturing  industry  from  war  to  peace  production. " 

He  made  it  clear,  however,  that  he  thought  there  was  room 
for  both  sound  broadcasting  and  television.  Just  as  the  telegram 
and  telephone  have  pursued  parallel  successes  in  common  usage, 

"Unquestionably,  television  receiving  sets  will  be  within 
the  range  of  the  average  pocketbook",  Mr,  Beal  said, 

Mr,  Beal’s  remarks  were  the  first  flat-footed  statements 
from  a  cautious  scientist  concerning  the  imminent  Nation-wide  launch¬ 
ing  of  the  new  commercial  entertainment  industry. 

"Years  of  research  -  speeded  and  Implemented  by  wartime 
discoveries  and  emergency  developments,  have  paved  the  way  to  smooth 
and  highly  practical  television  operation",  Mr,  Beal  said,  "and  we 
are  confident  that  its  widespread  use  will  open  employment  to  an 
equally  wide  range  of  arts,  crafts  and  labor, 

"I  believe  that  in  applying  all  of  our  new  findings  to  a 
fresh  Industry,  television  will  provide  a  much  more  satisfactory 
entertainment  medium  than  has  ever  been  achieved  down  through  the 
centuries, " 

Among  the  feasible  facts  about  television  in  the  postwar 
period,  Mr,  Beal  included  the  following: 

A  network  of  automatic  monitor  stations  will  be  employed  to 
relay  television’s  images  and  sound  from  a  central  transmitting 
tower  to  any  desired  distance.  Thus  a  planned  relay  from  New  York 
to  Washington  could  be  extended  to  any  part  of  the  country. 

Action  and  sound  can  be  relayed  from  a  fixed  state  -  out¬ 
doors  or  indoors  -  and  from  easily-handled  portable  equipment. 

After  the  television  broadcast  of  black-and-white  images, 
plus  sound,  to  a  large  section  of  the  Nation,  the  next  normal 
development  will  be  three-dimensional  and  color  television, 

XXXXXXXX 


10  - 


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7/23/43 


Station  WDSM,  Superior,  Wis. ,  will  become  affiliated  with 
the  Blue  Network  as  a  basic  supplementary  station,  bringing  the 
total  number  of  Blue  affiliates  to  159. 


Used  defective,  exhausted  or  condemned  parts  for  electron¬ 
ic  equipment  must  be  disposed  of  by  producers  or  suppliers,  either 
for  salvage  -  or  be  destroyed,  within  sixty  days.  War  Production 
Board  announced  yesterday  in  an  amendment  to  Limitation  Order  L-265. 
This  action  was  taken  to  prevent  such  defective  parts  from  getting 
back  into  trade  channels. 

Previously  the  order  had  provided  for  the  salvage  of  such 
parts,  but  now  they  may  be  destroyed  if  salvage  is  not  practical. 


A  permanent  WOR  Women’s  Advisory  Panel  was  formed  at  a 
luncheon  held  by  Alfred  J.  McCosker,  President  of  WOR,  at  the 
Waldorf  Astoria  last  week.  The  purpose  of  the  meeting  was  to  devise 
further  means  for  aiding  women  listeners  at  home  and  in  the  war 
effort. 

All  the  prominent  women,  representing  a  variety  of  fields, 
who  attended  the  lunch  signified  their  willingness  to  become  char¬ 
ter  members  of  the  Panel.  It  was  further  decided  that  meetings 
would  be  held  at  least  four  times  a  year. 


Dissemination  of  false  advertisements  in  connection  with 
the  sale  of  medicinal  preparations  is  alleged  by  the  ?bderal  Trade 
Commission  in  a  complaint  against  Robert  Salazar,  trading  as  Los 
Angeles  Pharraacal  Co.  and  Hidalgo  Pharmacy,  Los  Angeles.  The  res¬ 
pondent  sells  the  preparations  under  the  names  •’Pulmotol”,  "Pemov- 
Ita”,  ”Renatone  Pills”,  sometimes  known  as  ”Runaton”,  and  ’’Stoma- 
vita”,  and  advertises  them  in  the  Spanish  language  in  newspapers  and 
periodicals  and  by  radio  continuities. 


Walter  I.  Seigal,  formerly  Assistant  Manager  of  the  CBS 
Photographic  Division,  has  been  named  Manager  of  the  Division, 


Mrs.  Winthrop  Aldrich,  Vice-Chairman  of  CDVO,  and  Miss 
Hazel  Corbin,  General  Director,  Maternity  Center  Association,  will 
serve  as  regular  members  of  the  WOR  Women’s  Advisory  Panel,  though 
they  were  unable  to  attend  the  abovementioned  luncheon. 


Chairman  James  L.  Fly  of  the  Federal  Communications  Com¬ 
mission;  Walt  Disney,  creater  of  delightful  screen  fantasies,  and 
Francis  S.  Harmon,  Executive  Vice  Chairman  of  the  War  Activities 
Committee  of  the  Motion  Picture  Industry,  will  explore  ”The  World 
of  Sight  and  Sound”  on  the  NBC  Inter- American  University  of  the  Air’s 
post-war  planning  series,  "For  This  We  Fight”,  at  7:00  P.M, ,  EWT, 
Saturday,  July  318 t. 


XXXXXXXX 


11  - 


’r  . 


Heinl  Radio  Business  Letter 

2400  CALIFORNIA  STREET  WASHINGTON,  D.  C. 


»J\TI0NAL  BROADCASTl^'G  COMPANY.  iHC. 

GENERAL  LiBRARV 

oU  HOCKEFELLER  PLAZA,  NEW  YORK,  N.  Y, 
INDEX  TO  ISSUE  OF  JULY  27,  1943 


FCC  Probe  Just  (letting  Good.  -  Name  Cox  Kin  On  Payroll . ...,1 

Set  I'ilaking  Speeded  By  ’’Diluting  Job  For  Unskilled” . 

Sir  Thomas  Suggests  Solution  Of  Petrillo  Dispute . . 

Cox  Subcommittee  To  Convene  In  N.Y,  Next  Week . 

Fly  Thumbs  Cox  Committee  on  FBIS  Mussolini  Scoop . . 

Traitors  Indicted  In  Broadcasts  First  In  U. S.  History,,, 

FCC  Claims  To  Be  In  Dark  Re  Blue  Net  Sale . . 

It  Is  Radar  Any  Way  You  Spell  It . . 

Unrestricted  Manufacture  Of  Type  5Y3G  Radio  Tube  Allowed. 

FIJI  Vote  Favors  Present  Allications . . 

Trade  Notes,,.,. . 10 


No.  1548 


toto  lO  o  £>-lS  0>CJ> 


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July  27,  1943 


FCC  PROBE  JUST  GETTING  GOOD  -  NAME  COX  KIN  ON  PAYROLL 


Although  temporarioy  adjourned,  the  investigation  of  the 
Federal  Communications  Commission  by  the  Special  House  Committee 
headed  by  Representative  Eugene  Cox  (D),  of  Georgia,  is  Just  begin¬ 
ning  to  get  good.  Never  has  there  been  a  more  spectacular  curtain- 
raiser  but  if  the  promises  of  those  in  charge  of  the  hearings  are 
to  be  relied  upon,  some  of  the  most  sensational  charges  are  yet  to 
be  uncorked.  The  hearings  which  are  to  reconvene  week  after  next 
(August  9)  in  Washington,  following  a  special  sub- committee  matinee 
performance  in  New  York  next  week,  may  run  along  for  a  month  or 
more. 


If  they  have  not  concluded  by  the  time  Congress  reconvenes 
the  Committee  will  make  a  progress  report  to  the  House  and  then  cr 
later  will  introduce  several  bills  calculated  to  clip  the  wings  of 
the  FCC  -  legislation  to  transfer  the  war  activities  of  the  Commis¬ 
sion  to  the  Army  and  the  Navy  as  was  said  to  have  been  recommended 
by  Army  and  Navy  officers  who  were  prevented  from  testifying  by 
President  Roosevelt. 

In  the  meantime  both  sides  continue  to  bang  away  at  each 
other  in  the  public  prints,  A  couple  of  depth  charges  have  been 
exploded  by  Drew  Pearson,  noted  columnist,  who  is  ’’agin”  Representa¬ 
tive  Cox  and  has  been  for  sometime.  Last  week  he  wrote: 

’’The  Cox  Committee  Investigating  the  Federal  Communica¬ 
tions  Commission,  having  set  one  record  for  violating  the  American 
spirit  of  fair  play,  now  is  out  to  beat  its  own  record, 

’’First,  its  Chairman,  Representative  Eugene  Cox  of 
Georgia,  having  been  accused  of  Illegally  taking  a  $2,500  lobbying 
fee,  is  now  placed  in  the  unique  position  of  sitting  in  Judgment  on 
his  accusers  -  the  FCC. 

’’The  Georgia  Congressman  at  one  time  had  so  many  relatives 
on  the  Government  payroll  that  the  total  take  of  himself  and  family 
was  $56,500,  This  is  nearly  four  times  greater  than  the  salary  of 
the  Vice  President,  nearly  three  times  the  salary  of  Chief  Justice 
Stone,  Nevertheless,  when  the  FCC  sent  the  matter  of  Cos's  alleged 
lobbying  fee  to  the  Justice  Department  for  criminal  prosecution, 

Cox  flew  into  a  tantrum  and  started  a  congressional  probe  of  his 
accusers. 


"Now,  his  committee  has  gone  one  step  further  and  has 
devised  a  system  of  trying  to  shut  up  any  rebuttal  from  the  Federal 
Communications  Commission,  so  that  only  one  side  can  be  heard. 

(it  might  be  a  good  idea  for  the  public  to  remember  this  in  reading 
news  about  the  FCC  investigation.)” 

-  1  - 


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7/27/43 


with: 


A  few  days  later  Mr.  Pearson  followed  that  little  tribute 


“Congressman  Eugene  Cox  of  Georgia  has  now  set  the  all- 
time  high  for  helping  hiself  and  family  at  the  expense  of  American 
taxpayers.  Other  Congressmen  from  time  to  time  have  put  their 
relatives  on  the  Government  payroll,  but  none  has  ever  come  anywhere 
near  Cox*8  record  for  getting  so  many  feet  in  the  feed-box, 

“At  present  he  has  six  relatives  on  the  payroll,  for  an 
annual  total  of  $30,120,  including  his  own  congressional  salary, 

“In  addition  he  has  now  secured  from  Congress  a  handout 
of  the  taxpayer’s  money  to  the  tune  of  $60,000  to  investigate  the 
Federal  Communications  Commission  after  that  Commission  unearthed 
a  check  for  $2,500  allegedly  received  by  Cox  for  lobbying, 

“It  is  a  criminal  offense  for  a  Congressman  to  lobby  with 
a  Government  bureau,  so  the  FCC  referred  the  matter  to  the  Justice 
Department.  Whereupon  Cox  persuaded  his  brethren  on  Capitol  Hill 
to  investigate  his  FCC  accusers  and  make  him  'impartial'  chairman  of 
the  probe. 


“Here  is  the  detailed  breakdown  of  Cox's  nepotism: 

“Rosa  Robinson,  Cox's  secretary,  is  his  sister  -  $3,380 

a  year. 


“J,  Chaney  Robinson,  her  husband  and  Cox's  brother-in-law, 
is  assistant  House  bill  clerk  -  $3,120  a  year. 

“Grace  Cox,  wife  of  the  Congressman,  is  a  clerk  in  his 
office  -  $3,120  a  year, 

“Robin  Cox,  Sr, ,  a  brother,  postmaster  at  Donalsonvllle  - 

$2,400. 

“Mrs,  Jim  Cox  Hoggard,  a  sister,  postmistress  at  Camilla 
(Cox's  home  town)  -  $2,550, 

“Charles  M.  Cox,  a  nephew,  senior  administrative  officer 
of  the  Agricultural  Adjustment  Administration's  special  program 
division,  who  says  he  got  his  Job  without  Cox's  aid  -  $5,600  a  year. 

“Congressman  Cox's  yearly  salary  -  $10,000,“ 

XXXXXXXX 

A  radio  circuit  for  transmission  of  photographs  will  be 
Opened  soon  between  the  United  States  and  the  South  Pacific  war 
theater,  the  Army has  announced. 

Signal  Corps  experts  are  in  Australia  Installing  equipment, 
and  completing  preparations  for  the  service,  which  will  be  started 
"in  the  immediate  future. 


XXXXXXXXXX 


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7/27/43 


SET  MAKING  SPEEDED  BY  "DILUTING  JOB  FOR  UNSKILLED" 


Schedules  for  marine  radio  units  for  the  Maritime  Commis¬ 
sion  ships  have  been  stepped  up  by  the  Federal  Telephone  and  Radio 
Corporation,  manufacturing  affiliate  of  the  International  Telephone 
and  Telegraph  Corporation  by  "diluting  the  Job  for  unskilled  worker- 
ers  ", 


"Thus,  by  breaking  down  the  task  into  simpler  sectional 
processes",  E.  G.  Ports,  Radio  Communications  Division  Manager, 
explained  to  the  New  York  Time s .  "we  are  able  to  use  our  highly 
skilled  workers  on  parts  that  require  their  attention,  and  leave 
the  balance  for  the  unskilled  workers.  Of  course,  our  plant  has 
been  hard  hit  by  the  man  requirements  of  our  armed  forces,  as  have 
all  others;  and  workers  do  not  come  to  us  fully  trained,  but  Job 
dilution  has  gone  a  long  way  toward  solving  our  problems, 

"An  example  of  the  working  of  this  system  can  readily  be 
seen  in  the  manufacture  of  one  particular  cable  assembly  for  our 
marine  radio  unit.  This  cable  normally  required  550  minutes  to 
assemble,  but  today  we  are  able  to  turn  out  the  same  Job  in  80  or 
90  minutes. 


"The  marine  radio  unit,  although  accepted  by  the  Maritime 
Commission  in  1941,  is  essentially  new.  It  provides  a  single  unit 
for  our  Liberty  ships  which  contains  all  the  radio  communications 
equipment  required  by  law, 

"Installation  of  the  unit  on  shipboard  consists  chiefly  in 
securing  the  unit  in  place  and  connecting  the  antenna  and  power 
leads.  Old- type  installations  consisted  of  a  multiplicity  of  units  -- 
transmitters,  receivers,  motor  generators,  auto  alarms,  charging 
panels,  etc,,  and  were  mounted  on  tables  or  bulkheads  and  in  some 
cases  even  in  adjoining  rooms, 

"The  wiring  problem  is  greatly  simplified,  and  a  tremend¬ 
ous  saving  in  time  and  expense  is  accomplished  with  the  new  unit. 
Installation  of  radio  equipment  on  new  ships  normally  requires  from 
six  weeks  to  two  months,  and  tends  to  interfere  with  construction 
work  on  the  vessel  itself.  With  the  new  unit,  all  work  is  practi¬ 
cally  completed  prior  to  the  time  the  radio  room  unit  is  placed  in 
position, " 


xxxxxxxx 

SIR  THOMS  SUGGESTS  SOLUTION  OF  PETRILLO  DISPUTE 

Sir  Thomas  Beecham,  noted  English  conductor,  now  residing 
in  the  United  States,  has  written  to  Olin  Downs,  music  editor  of 
the  New  York  Times  offering  a  remedy  to  the  Petrillo-transcription 
company  differences  as  follows: 

"Mr,  Petrillo  has  informed  the  world  that  the  quarrel  of 
the  federation  is  not  with  the  recording  companies  at  all  but  with 


3 


7/27/43 


the  broadcasting  organizations,  hundreds  in  number,  who  live 
partly  or  mainly  upon  mechanized  music  to  the  disadvantage  of  un¬ 
employed  musicians.  Would  it  be  presumptuous  to  inquire  what  are 
the  chances  of  the  broadcasting  bodies  employing  more  musicians? 

Up  to  the  moment,  I  take  it,  they  have  shown  little  disposition  to 
do  so.  But  the  public,  which  will  eventually  have  to  be  taken  into 
consideration,  is  entitled,  I  think,  to  some  enlightenment  on  this 
point.  Also  it  might  like  to  know  if  the  present  ban  will  be  con¬ 
tinued,  even  if  the  offending  parties  come  well  to  heel. 

”It  would  appear  that  one  of  the  fundamental  causes  of 
the  whole  trouble  is  the  unsatisfactory  legal  status  of  the  gramo¬ 
phone  record  Itself.  In  my  country,  when  any  record  made  by  the 
London  Phllhannonic  Orchestra  is  used  by  the  British  Broadcasting 
Corporation,  we  receive  a  fee  for  such  performance.  In  this  country 
I  have  observed  that  our  records  are  played,  day  and  night  the  year 
round  with  no  advantage  to  the  makers  or  contrivers  of  them.  Once 
they  are  placed  upon  the  market  they  become  the  free  property  of 
any  broadcasting  station  that  likes  to  use  them.  This,  to  my  way 
of  thinking,  is  hardly  equitable.  In  other  words,  every  broadcast¬ 
ing  station  on  this  continent  might  reasonably  pay  a  fee,  according 
to  its  economic  capacity,  for  the  right  to  make  use  of  our  records. 
This  position  could  be  secured  by  a  short  and  simple  act  of  legis¬ 
lation  in  Congress,  making  them  copyright,  and  the  recording  com¬ 
panies  would  thus  be  enabled  to  control  their  distribution, 

••How  would  this  advantage  benefit  the  Federation  of 
Musicians?  Taking  into  account  the  Immense  number  of  broadcasting 
stations  in  this  country,  and  other  channels  of  reproduction,  a 
very  large  income  would  be  forthcoming  to  the  creators,  artistic 
and  mechanical,  of  the  records.  They,  I  am  sure,  would  be  only  too 
willing  to  hand  over  to  the  Federation  that  larger  portion  of  all 
fees  receivable  by  them  under  such  an  amended  dispensation.  At 
least  I  am  tolerably  sure  that  there  are  few  artists  working  on  this 
continent  who  would  not  agree  to  do  so  at  once.  The  result  would  be 
the  federation  coming  into  possession  of  a  considerable  annual 
revenue  which  it  could  disburse  in  any  fashion  it  desired.  It  could 
bestow  unemployment  relief  or,  what  would  be  infinitely  more  bene¬ 
ficial,  create  fresh  machinery  of  employment.  ’* 

XXXXXXXXX 

COX  SUBCOMMITTEE  TO  CONVENE  IN  N.Y.  NEXT  WEEK 

Although  the  exact  time  and  place  was  not  made  known,  it 
seemed  to  be  pretty  well  determined  that  the  sub-committee  of  the 
House  Committee  investigating  the  Federal  Communications  Commission 
would  meet  in  New  York  City  next  Monday,  August  2.  There  are  only 
two  members  of  this  smaller  Committee  -  Representatives  Edward  J, 
Hart  (D),  of  New  Jersey,  and  Richard  B,  Wigglesworth  (r),  of  New 
York,  The  subcommittee  will  examine  about  100  witnesses  and 
endeavor  to  substantiate  the  charge  that  the  FCC  has  had  a  ’’Gestapo” 
operating  in  the  foreign  language  broadcasting  field, 

X  X  X  X  X  X  X 
-  4  - 


7/27/43 


FLY  THUMBS  COX  COMMITTEE  ON  FBIS  MUSSOLINI  SCOOP 


Stating  that  the  Federal  Communication  Commission* s 
Foreign  Broadcast  Intelligence  Service,  which  has  been  under  such 
heavy  fire  by  the  Cox  FCC  Investigating  Committee,  scooped  every*- 
body  by  giving  the  news  of  Mussolini's  ousting  to  various  U,  S, 
agencies  ahead  of  any  other  Gkjvernment  or  press  services.  Chair¬ 
man  James  L,  Fly  of  the  FCC  declared  this  Justified  the  existence 
of  the  seirvice.  He  also  said  that  the  FBIS  had  not  been  establish¬ 
ed  for  the  purpose  of  beating  the  press  services  and  others  to  it 
but  argued  that  in  such  cases  as  the  Mussolini  blow-up,  it  was 
necessary  for  the  Government  to  have  the  facts  and  ^authoritative 
word**  immediately  and  here  was  one  instance  where  they  got  them 
from  the  FBIS,  the  Cox  Committee  to  the  contrary  nothwithstanding. 

Mr,  Fly  said  the  FBIS  carried  the  second-by-second  develop 
ments  and  gave  all  Government  agencies  the  full  text  of  the  announce 
ment,  the  reactions  obtained  from  the  Rome  broadcasts,  both  at  home 
and  on  the  Italian  shortwave  programs,  the  British  press  reactions 
and  the  full  text  of  the  BBC  broadcasts.  Mr.  Fly  said  this  was  a 
service  that  ’'undoubtedly  could  not  have  been  rendered  by  any  other 
agency". 


The  FCC  chief  said  that  the  event  happened  at  4:40  P.M, 
Sunday,  was  picked  up  at  5  P.M.,  carried  as  a  flash  on  the  wires 
at  5:01  and  the  full  story  of  the  first  texts  at  5:05  P.M, 

Asked  how  much  the  FBIS  beat  the  press  associations,  Mr, 
Fly  said  the  FCC  service  was  not  in  the  "scoop  business"  and  that 
he  thought  it  was  incidental  that  they  were  ahead  of  the  press 
associations  and  regular  broadcasting  services  by  minutes  but  more 
Important  that  they  gathered  the  information  quickly  and  gave  it  to 
the  Government. 

Asked  if  the  FBIS  had  attempted  to  appraise  the  signific¬ 
ance  of  the  Mussolini  exit,  Mr,  Fly  said  it  wasn't  the  function  of 
the  service  to  analyze  conditions  in  a  general  way  or  to  try  to 
grasp  their  broad  significance, 

"We  endeavor  to  keep  the  Government  fully  informed  from 
the  output  of  information  and  propaganda  from  all  of  the  foreign 
countries.  In  that,  I  think  the  FBIS  does  an  excellent  Job",  Mr, 
Fly  explained, 

"Undoubtedly  they  will  have  analyses  having  to  do  with  the 
various  statements  and  the  attitudes  of  the  different  countries  - 
perhaps  a  comparison  of  the  statements  made  by  a  single  country, 
Italy  or  Germany,  for  example,  in  its  ov/n  different  released  to 
different  parts  of  the  world, 

"In  other  words,  it  is  our  Job  to  analyze  the  propaganda, 
and  not  to  move  beyond  that  sphere  and  pass  Judgments  on  the  import 
of  outstanding  events  in  general.  Much,  of  course,  can  be  gained 
from  a  proper  study  of  the  propaganda,  but  of  course  that  must  be 


5 


7/27/43 


combined  with  9II  other  intelligence  and  information  before  an 
authoritative  Judgment  is  to  be  formed  as  to  the  impact  of  events 
in  general, ” 

Clandestine  radio  stations  greeted  Mussolini's  resignation 
with  long  exhortations  to  the  Italian  people,  London  listeners 
reported. 


An  underground  station  calling  itself  "GL”  (probably  for 
Giustizia  Liberta),  asserted  the  Jb.scist  regime  must  fall  with 
Mussolini, 

Another  clandestine  station  calling  itself  the  station  of 
the  "Italo  Balbo  group”,  was  heard  attacking  Mussolini  as  a  coward, 
assailing  the  House  of  Savoy  and  issuing  a  "call  to  arms  to  Fass- 
ists,  " 

XXXXXXXXXX 


TRAITORS  INDICTED  IN  BROADCASTS  FIRST  IN  U,S.  HISTORY 


There  has  never  been  anything  in  our  history  to  compare 
with  the  indicting  of  eight  American  citizens  now  resident  in  Germ¬ 
any  or  Italy,  Attorney  General  Biddle  declared  every  effort  would 
be  made  to  apprehend  them  and  eventually  bring  them  to  trial  in 
this  country. 

The  defendants  are  charged  with  accepting  employment  with 
the  Italian  and  German  governments  and  with  writing  and  broadcasting 
speeches  and  statements  deliberately  intended  to  weaken  the  morale 
of  the  American  people,  dissuade  them  from  making  war  on  the  Axis, 
undermine  faith  in  their  own  Government  and  the  governments  of  their 
Allies,  and  in  other  ways  to  Interfere  with  the  military  and  naval 
operations  of  the  United  States, 

The  indictments  said  all  radio  facilities  of  both  Germany 
and  Italy  are  under  the  direct  control  of  the  respective  enemy 
governments  and  that  only  such  messages  as  will  advance  the  interest 
of  the  enemy  are  allowed  to  be  transmitted. 

Named  in  eight  separate  indictments  were: 

Robert  H.  Best,  47,  one-time  United  States  Array  officer, 
formerly  of  Sumter,  3, C,  ;  Frederick  Wilhelm  Kaltenbach,  48,  formerly 
of  Dubuque,  Iowa,  described  as  a  counterpart  of  Lord  Haw  Haw;  Dr. 
Ezra  Pound,  57,  formerly  of  New  York  City;  Douglas  Chandler,  54, 
formerly  of  Baltimore;  Edward  Leo  Delaney,  57,  formerly  of  Olney, 

Ill. ;  Constance  Drexel,  48,  formerly  of  Philadelphia;  Jane  Anderson, 
50,  formerly  of  Atlanta,  Ga, ,  and  Max  Otto  Koischwltz,  41,  formerly 
of  New  York  City, 


XXXXXXXX 


6 


7/27/43 


FCC  CLAIMS  TO  BE  IN  DARK  RE  BLUE  NET  SALE 


There  was  an  air  of  %e  know  nothing  about  it”  at  the 
Federal  Communications  Commission  regarding  the  Blue  Network  sale 
rumors  drifting  in  from  New  York.  The  names  mentioned  as  prospect¬ 
ive  buyers  are  a  Wall  Street  syndicate  and  James  H.  McCraw,  of 
McGraw-Hill  and  Edward  J,  Noble,  former  Under  Secretary  of  State, 
wealthy  manufacturer,  and  owner  of  WMCA,  New  York.  If  Mr,  Noble 
is  identified  with  the  group,  which  finally  closes  the  deal,  the 
FCC  may  be  interested  in  his  having  ahand  in  operating  two  sta¬ 
tions  in  New  York  City  -  WJZ  and  WMCA,  which  would  be  against  the 
FCC  regulations. 

Top  price  for  the  Blue,  one  New  York  dispatch  stated,  was 
$12,000,000  but  this  was  later  reported  to  have  dropped  to 
$7,500,000  cash. 


XXXXXXXXX 
IT  IS  RADAR  ANY  WAY  YOU  SPELL  IT 


You  may  never  have  thought  of  it  before  but  a  booklet 
just  Issued  on  the  ’’Radar,  Wartime  Miracle  of  Radio”,  calls  atten¬ 
tion  to  the  fact  that  the  letters  R-a  -  d-a-r  spell  the  same 
forward  and  backward, 

’’This  gives  a  clue  to  radar’s  performance  in  using  the 
radio  echo,  which  is  reflected  by  any  object  which  the  radar  beam 
strikes”,  the  booklet  published  by  the  Department  of  Information 
of  the  Radio  Corporation  of  America,  explains.  ”An  airplane,  for 
Instance,  acts  as  a  ’radio  mirror’  when  it  is  intercepted  by  a 
radar  beam.  ” 

The  reader  is  also  enlightened  as  to  the  origin  of  the 

new  word; 

’’Radar  -  which  means  radio  detecting  and  ranging, 
ra  radio 
d  detection 
a  and 
r  ranging  ” 

Explaining  the  device  with  a  simple  illustration,  the 
RCA  F^dar  booklet  says: 

”The  boy,  who  yoo-hoos  at  a  cliff  and  hears  the  echo,  is 
in  effect  illustrating  the  radar  principle.  The  sound  strikes  an 
object  and  is  reflected.  Radio  also  has  echoes.  But,  of  course, 
radio  travels  much  faster  than  sound;  it  travels  at  the  speed  of 
light,  186,000  miles  a  second.  Knowing  the  speed  of  sound  and 
light,  also  the  time  elapsed  before  the  echo  is  heard,  distance  can 
be  measured.  For  instance,  knowing  the  velocity  of  the  radio  wave. 


7 


7/27/43 


and  by  recording  the  time  required  for  the  echo  to  come  back,  the 
distance  to  the  object  that  reflected  the  signal  can  be  determined. 

"The  speed  of  the  radio  waves,  however,  is  so  great  that 
it  Is  only  by  the  development  of  modem  electronic  devices  that  this 
raeasumraent  has  been  made  possible.  For  Instance,  the  time  requir¬ 
ed  for  a  radio  wave  to  travel  to  an  object  50  feet  away  and  back 
again  is  only  one  ten-millionth  of  a  second,  yet  radar  can  measure 
it.  '» 

The  question  is  asked:  "Does  the  enemy  know  about 
radar?"  and  answered: 

"The  fundamental  principle  is  no  secret.  In  fact,  a  main 
objective  of  one  of  the  first  Commando  raids  along  the  French  coast, 
on  February  27,  1942,  was  to  capture  intact  the  equipment  of  a  radar 
station  at  Bruneval,  north  of  Havre  —  the  mission  was  successful. 

"Aiming  to  cripple  one  of  Temany's  key  defense  weapons 
against  land  invasion  and  against  Allied  air  attacks,  RAF  4-motored 
Lancaster  bombers  on  June  21,  1943,  made  a  heavy  raid  on  the  radio- 
radar  factory  in  Friedrichshafen  by  500-pound  bomb  hits  on  all  main 
buildings, 

"In  1935,  the  Telefunken  company  in  Berlin  revealed 
details  of  a  10-centimeter  ‘mystery  ray*  system  said  to  be  capable 
of  locating  position  of  aircraft  through  fog,  smoke  and  clouds.  It 
was  reported  that  beams  could  be  sent  upward  at  a  fixed  angle  from 
a  large  group  of  micro-wave  transmitters.  After  reflection  from  the 
hidden  airplane,  the  ‘echoes*  were  picked  up  by  a  group  of  receivers 
built  in  small  weather-proof,  iron  boxes  which  could  be  mounted  atop 
church  steeples  and  tall  buildings.  Each  transmitter  had  its  indi¬ 
vidual  code  signal  so  that  the  received  beam  could  be  identified  and 
the  object  of  reflection  located, 

"At  the  same  time,  reports  were  current  that  the  United 
States  and  Italian  armies  were  experimenting  with  radio-detection 
systems  declared  to  revolutionize  war  tactics. 

"It  has  since  been  revealed  that  for  many  years  America 
has  been  at  the  forefront  of  radar  development,  but  because  the  war 
struck  Britain  first,  it  was  there  that  this  new  aerial  watchdog 
received  its  baptism  of  fire.  Radar  was  rushed  into  action,  and 
the  British  are  rightly  praised  for  having  done  a  magnificent  Job 
in  quickly  applying  this  great  weapon  to  prevent  the  Luftwaffe  from 
striking  a  knockout  blow.  Nazi  fighter  bombers  have  tried  in  vain 
to  sneak  by  the  radar  patrols  to  reach  England  by  flying  low,  skim¬ 
ming  the  water  in  hopes  that  the  beams  might  be  sweeping  the  skies 
overhead  and  therefore  miss  them.  " 

Pointing  out  that  RCA  pioneered  in  radar  the  booklet 

states; 

"The  Radio  Corporation  of  America  as  early  as  1937  deliv¬ 
ered  experimental  radar  apparatus  to  the  U.  S.  Army  Signal  Corps  for 
aircraft  location  tests.  RCA  also  produced,  for  the  Signal  Corps, 
portions  of  its  first  radar  equipment,  such  as  was  in  operation  at 
Pearl  Harbor, 

"A  set  of  radar,  designed  and  manufactured  by  the  Naval 
Research  Laboratory,  was  installed  on  the  U.S.S.  NEW  YORK,  late  in 

-  8  - 


7/27/43 


1938.  At  the  same  time  RCA  had  built  for  the  Navy  an  experimental 
radar  equipment  which  was  tested  on  the  battleship  NEW  YORK.  As  a 
result  of  the  tests,  the  Navy  decided  to  develop  additional  radar 
sets,  and  in  October,  1939,  because  of  ROAD’S  pioneer  radar  work,:  it 
was  awarded  contracts  for  six  sets  of  aircraft-detection  equipment 
patterned  after  the  original  model  built  at  the  Naval  Research 
Laboratory,  and  as  installed  on  the  U*SrS.  NEW  YORK.  This  was  the 
first  Navy  service  radar  equipment  order.  The  apparatus  built  by 
RCA  was  installed  on  U,  S,  naval  vessels  beginning  in  1940,” 

xxxxxxxxx 


UNRESTRICTED  MANUFACTURE  OF  TYRE  5Y3&  RADIO  TUBE  ALLOWED 


Because  it  Is  considered  a  more  practical  radio  tube  to 
produce  than  the  Type  5Y3(tT/G  tube,  unrestricted  manufacture  of  the 
Type  5Y3G  tube  was  allowed  today  (Tuesday)  by  the  War  Production 
Board  through  an  amendment  to  Limitation  Order  L-76,  This  amendment 
will  not  add  appreciably  to  present  civilian  tube  supplies  because 
of  limitations  on  available  materials,  the  Radio  Dlslsion  of  WPB 
said.  The  order  previously  permitted  manufacture  of  the  Type 
5Y3(JT/0  tube,  but  experience  revealed  that  this  tube  did  not  perfqrra 
satisfactorily  and  difficulty  was  experienced  in  its  manufacture, 
the  Radio  Division  said. 


X  X  X  X  X  X  X 

FM  VOTE  FAVORS  PRESENT  ALLOCATIONS 


FM  Broadcasters,  Inc,  has  . Just  canvassed  its  membership  as 
to  whether  or  not  they  thought  the  present  FM  allocations  were  0, K. 
Also  other  questions  were  asked. 

Replies  were  received  from  20  M  broadcasters  who  have 
stations  in  regular  operation. 

Here  are  the  questions  and  answers: 

1,  "Is  the  present  allocation  (43-50  me. )  the  best  for  FM 
broadcasting?”  (19  answers  received.  13  answered  "yes”;  5  said 
"no”  and  one  can't  be  classified.) 

2,  "Should  the  present  FM  band  be  extended  either  up  or  down?" 
{19  answers  received.  11  thought  it  should  be  extended;  2  didn't, 

6  replies  couldn't  be  classified  as  either  "yes"  or  "no".) 

3,  "What  new  or  modified  engineering  standards  should  be 
adopted?"  (Out  of  19  answers,  11  listed  modifications  they  felt 
desirable;  6  announced  themselves  satisfied  with  existing  standards. 
Another  2  had  various  answers,  ) 


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7/27/43 


4,  "Are  mileage  separations  heretofore  recognized  for  licens¬ 
ing  purposes  for  same  and  adjacent  channel  operation  satisfactory?” 
{18  broadcasters  answered  this  one.  9  thought  that  present  distances 
between  such  stations  are  working  out  all  right;  7  dldn*t.  Another 
2  believed  that  more  time  will  be  needed  before  reaching  any  conclu¬ 
sion,  ) 

5,  "What  degree  of  interference  may  be  expected  from  sky  wave 
propagation  If  the  present  FM  band  Is  retained?”  (This  question  deals 
with  the  occasional  freak  reception  of  distant  Pl/I  stations.  Out  of 
19  answering,  9  believed  that  while  there  may  be  some  Interference 
from  time  to  time,  It  will  not  be  serious.  On  the  other  hand,  5 
think  Just  the  opposite.  There  were  5  more  answers  voicing  various 
qualified  opinions,) 

6,  "In  view  of  the  fidelity  characteristics  of  the  receivers 
manufactured,  has  too  much  stress  been  placed  on  high  fidelity  In  Ml 
transmission  and  programming?”  (20  answers  were  received,  8  said 
"yes";  10  said  "no";  2  said  "maybe", 

7,  "What  steps,  if  any,  can  or  should  be  taken  to  prevent  the 
distribution  of  interior  receivers  Incapable  of  taking  reasonable 
advantage  of  service  provided,  or  such  as  to  injure  that  service? 

(The  majority  of  answers  declared  that  public  education  about  FM  is 
the  best  way  of  combatting  the  distribution  of  inferior  receivers, ) 

8,  "Should  allocation  on  the  basis  of  trade  areas  be  continued 
or  is  there  a  more  satisfactory  method?”  (Of  the  20  answers  received, 
12  prefer  the  current  system,  6  have  other  ideas;  2  aren*t  sure.) 

9,  "Should  boosters  be  permitted  and,  if  so,  should  they  be 
allowed  to  operate  unattended,  and  on  channels  different  from  the 
channel  of  the  originating  transmitter?"  (16  of  the  broadcasters 
were  all  for  them.  Only  2  said  "no",) 

10.  "What  should  be  the  standards  for  synchronous  operations?” 
According  to  FMBI's  engineering  committee,  "the  answers  to  this 
question  are  not  sufficiently  definite  to  permit  classification. 
Various  interpretations  were  placed  on  the  question.  Most  of  the 
answers  indicate  that  this  is  something  to  be  determined  in  the 
future, " 


XXXXXXXXXX 
TRADE  NOTES 


W,  B,  Grillen  has  been  named  Manager  of  Manufacturing  of 
the  Tube  Division  of  the  (General  Electric  Electronics  Department. 

Mr.  Grillen  will  be  responsible  for  all  0.  E,  tube  manufacturing 
activities  at  Buffalo,  Cleveland,  Lynn,  and  Schenectady,  A  native  of 
Warren,  Ohio,  Mr.  Gillen  graduated  from  Ohio  State  University  in 
1927,  and  his  first  Job  with  Gteneral  Electric  was  in  the  Warren, Ohio, 
Lamp  Works, 


The  newly  instituted  Executive  Administrative  Program  Com¬ 
mittee,  created  at  the  recent  Board  meeting  of  the  Mutual  network, 
is  holding  its  first  meeting  this  week  -  a  three  day  conference  in 
New  York  City  which  began  Monday,  to  prepare  and  discuss  Fall  and 
Winter  programming. 


10  - 


ti- 


f  S'  •*»  .  ;■ 


>!■;  ■/':  ‘?’0'  .  ..a..  ;■ 


V  ■  X 


!■ 


X 


7/27/43 


About  the  time  the  article  appeared  In  this  service 
•’Believed  Wlllkle-McCormick  Radio  Debate  Would  Be  A  Wow”,  the 
Mutual  Broadcasting  System  suggested  such  a  debate  to  Col,  Robert 
R.  McCormick  of  the  Chicago  Tribune .  who  replied:  "Wlllkle  Is 
dead  and  buried.  Why  should  I  dig  him  up?” 


Sylvania  Electric  Products,  Inc.  ~  Six  months  to  June  30: 
Net  Income  |728,971  after  taxes  and  charges,  equal  after  preferred 
dividend  requirements  to  81  cents  each  on  the  854,474  shares  of 
common  stock  outstanding,  compared  with  $483,062,  or  79  cents  each 
on  the  514,368  common  shares  outstanding,  in  the  1942  period. 


Although  billed  as  non-political,  the  broadcast  of  the 
speech  of  Vice-President  Wallace  from  Detroit  was  labelled  by  many 
as  political  with  a  result  that  the  Republican  National  Committee 
may  ask  for  equal  time  to  answer  it. 


Operation  of  a  new  radiotelegraph  station  in  Algiers,  North 
Africa,  by  Mackay  Radio  and  Telegraph  Company,  an  I,  T.  &  T.  associ¬ 
ate,  utilizing  American  equipment  and  personnel,  has  been  started. 
The  facilities  of  the  new  station  are  needed.  Admiral  Luke  McNamee, 
President  of  the  Company,  said,  to  permit  the  expeditious  handling 
of  traffic  between  Algiers  and  this  country. 

Tbis  circuit  will  supplement  the  service  I^ackay  has  been 
providing  direct  to  and  from  North  Africa  for  several  months  through 
the  facilities  of  the  French  North  African  Post  and  Telegraph  Admin¬ 
istration  and  its  own  station  in  New  York, 


Janet  Lane,  most  recently  associated  with  Stations  WFIL 
and  KYW,  and  with  the  John  Wanaraaker  store  in  Philadelphia,  has  Join-r* 
ed  the  staff  of  WEAF  as  audience  promotion  manager.  In  her  new  posi¬ 
tion  at  WEAF,  Miss  Lane  will  originate  and  conduct  promotion  plans 
intended  to  expand  the  station's  audience. 


Philip  K.  Baldwin,  former  Engineering  Assistant  in  the  CBS 
General  Engineering  Department,  will  assume  new  duties  at  WTOP, 
Columbia* s  outlet  in  Washington.  Mr.  Baldsln,  formerly  Chief 
Engineer  of  WEEI,  Boston  outlet,  goes  to  Washington  in  the  dual  cap¬ 
acity  of  assistant  to  Clyde  Hunt,  Chief  Engineer  of  WTOP,  and  as  the 
CBS  General  Engineering  Department  Washington  representative  before 
Government  and  other  bureaus. 


Alfred  Wallenstein,  Musical  Di3?ector  of  Station  WOR,  has 
been  engaged  as  the  permanent  conductor  of  the  Los  Angeles  Phil¬ 
harmonic  Orchestra. 


Miss  Joan  Lane,  acting  CBS  Trade  News  contact  for  the 
last  five  months,  has  been  made  Trade  News  Editor  of  the  Columbia 
Broadcasting  System, 


xxxxxxxxxx 


11  - 


Heinl  Radio  Business  Letter 


2m  CALIFORNIA  STREET 
i 


WASHINGTON,  D.  C. 

_  RECEIVED 


BRoai 

YOpu 


INDEX  TO  ISSUE  OF  JULY  30,  1943. 


AUG 


FRANK  E.  PAULLEN 


Shall  Broadcasters  Wield  Censorship  Axe?  Durr  Asks . 1 

Cox  N.Y.  Hearing  Tuesday  -  Claim  Independents  O.K.  Fly . 5 

U.  S.  Censor  Warns  Further  On  Radar  Publicity . 6 

Petrillo  Orchestra  Offer  Seen  As  4th  Term  Hokum . 7 

Radio  Boner  Puts  OWI  Short-Wave  Under  Hull  Blue  Pencil . 8 

Blue  Network  Reported  Sold  For  8  Million . . 

Battle  For  Miller  Resignation  Expected  To  Be  Renewed, 

Another  Approach  Possible  If  FDR  Defeats  Kerr  Rider . 10 

Telegraphic  Carriers  Reach  Deal  On  Traffic . 10 

OPA  Adjusts  Celling  Prices  On  Wire,  Cable . 11 

Walter  Russ,  Mackay  Radio  Marine  Dlv.  Sutp,  ,  Dies . 11 


No.  1549 


to  to 


SHALL  BROADCASTERS  WIELD  CENSORSHIP  AXE?  DURR  ASKS 


Discussing  the  problems  of  free  speech  and  raising  the 
question  as  to  whether  or  not  the  broadcasters  should  be  allowed 
to  do  the  censoring,  FCC  Commissioner  C.  J.  Durr,  who  recently  took 
a  shot  at  Representative  Cox,  made  quite  a  speech  at  the  Woman’s 
National  Democratic  Club  in  Washington.  He  went  to  the  bat  for 
Goodwin  Watson  and  the  latter's  pals,  Messrs,  Dodd,  Jr.  and  Dr, 
Lovett  and  even  had  a  good  word  for  the  "crackpots”,  saying,  "The 
crackpots  of  one  generation  sometimes  become  the  prophets  of  the 
next.  " 

"In  May  of  1941,  the  Federal  Communications  Commission 
handed  down  several  regulations  relating  to  network  broadcasting", 
Commissioner  Durr  told  the  Democratic  women* 

"The  network  regulations  were  handed  down  before  my 
appointment  to  the  Commission,  but  I  have  no  hesitation  in  saying 
that  if  I  had  been  a  member  of  the  Commission  at  that  time,  I  would 
have  favored  them  in  principle, 

"The  Commission  called  its  regulations  a  Magna  Carta  for 
the  independent  broadcasting  stations,  and  claimed  that  it  was 
extending  a  degree  of  free  speech  to  a  field  where  it  had  thereto¬ 
fore  been  restricted.  Chairman  Fly  has  given  as  an  example  the 
regular  program  of  news  comment  put  on  by  Raymond  Gram  Swing, 

"Originally  Mr.  Swing's  broadcast  was  on  the  Mutual  Broad¬ 
casting  System  network.  As  such  it  was  heard  in  many  cities  -  and 
not  heard  in  many  others,  Portland,  Maine,  is  an  example  of  a  city 
in  which  Swing  could  not  then  be  heard.  There  were  only  two  broad¬ 
casting  stations  in  Portland,  Maine.  One  of  them  was  bound  by  con¬ 
tract  to  the  Columbia  Broadcasting  System,  and  that  contract  con¬ 
tained  an  exclusive  arrangement  by  which  the  station  agreed  not  to 
carry  any  program  from  any  other  network. 

"The  other  station  in  Portland  was  affiliated  with  the 
National  Broadcasting  Company,  and  NBC  also  practiced  exclusivity, 
so  the  second  station  in  Portland  likewise  would  not  carry  Swing's 
program.  As  a  practical  result,  Raymond  Gram  Swing  had  no  free 
speech,  so  far  as  network  radio  was  concerned,  in  Portland,  Maine, 
and  listeners  in  Portland  were  deprived  of  an  opportunity  to  hear 
him.  And  the  same  was  true  in  many  other  cities. 

"Subsequently,  Swing  transferred  from  the  Mutual  Network 
to  NBC,  and  at  that  point  he  encountered  another  kind  of  contract¬ 
ual  restriction. 


-  1  - 


7/30/43 


’’Many  of  these  contracts  between  networks  and  stations 
also  contained  agreements  by  the  network  not  to  send  a  program  to 
any  other  station  in  the  territory  served  by  its  regular  affiliate, 
even  if  the  regular  affiliate  did  not  have  time  available  or  for 
any  reason  did  not  want  to  broadcast  a  program.  Suppose,  using 
Swing  again  as  an  example,  that  an  NBC  affiliate  in  some  city  decid¬ 
ed  not  to  broadcast  his  program.  The  result  would  be  that  no  other 
station  in  that  city  could  carry  his  broadcast,  even  though  listen¬ 
ers  wanted  to  hear  him,  the  other  stations  wanted  to  broadcast  his 
program,  the  network  was  willing,  the  advertising  sponsor  was  will¬ 
ing,  and  Swing  himself  wanted  to  be  heard. 

”The  Commission  met  these  problems  by  providing,  among 
other  things,  that  a  station  may  not  enter  into  a  contract  which 
prevents  it  from  broadcasting,  if  it  so  desires,  a  program  from 
another  network.  The  Commission  also  provided  that  a  station  may 
not  enter  into  a  contract  which  prevents  a  network,  if  it  so  desires 
from  sending  to  another  station  in  the  area  a  program  which  its 
regular  affiliate  decides  not  to  broadcast.  Stations  therefore 
remain  free  to  broadcast  or  not  to  broadcast  particular  programs 
as  they  see  fit.  The  pui’pose  of  the  regulations  is  to  prevent 
contractual  restraints  upon  the  free  flow  of  programs.  That,  as 
fairly  as  I  can  give  it  in  brief  summary,  is  the  Commission's  view 
of  the  situation. 

”The  networks  argue  on  the  other  hand  that  the  regulations 
constituted  an  abridgement  of  the  freedom  of  speech  and  of  the  press 
guaranteed  by  the  Constitution. 

•’The  Supreme  Court,  in  upholding  the  FCC  regulations,  did 
not  accept  the  argument  that  the  guarantee  of  free  press  included 
freedom  to  make  such  restrictive  contracts  as  the  parties  deemed 
necessary;  today,  the  chief  bar  to  free  speech  may  not  be  govern¬ 
mental  action,  but  rather  the  action  of  private  parties, 

•’Traditionally,  the  threat  to  free  speech  was  the  threat 
of  suppression  by  a  powerful  government.  Today,  free  speech  may 
also  depend  upon  access  or  lack  of  access  to  privately  controlled 
facilities  for  the  dissemination  of  information  -  the  press  and 
radio.  It  may  be  as  effectively  curtailed  by  private  economic  sanc¬ 
tions  as  by  the  Government, 

”In  a  town  where  the  newspaper,  radio  station,  and  public 
hall  facilities  are  all  under  common  control,  the  controlling  per¬ 
son  or  group  may  as  effectively  throttle  free  speech  in  practice  as 
could  a  law  prohibiting  it,  We  have  always  been  very  sensitive  to 
governmental  interferences  with  the  liberties  of  the  citizen;  and 
that  is  a  healthy  attitude.  But  I  sometimes  wonder  whether  we  are 
sufficiently  sensitive  to  and  conscious  of  private  interferences  and 
restraints. 

••The  Communications  Act  of  1934  -  and  I  am  amazed  at  how 
much  misunderstanding  there  is  about  this  -  places  the  decisions 
concerning  what  shall  and  shall  not  be  broadcast  in  the  hands  of 
the  more  than  nine  hundred  station  licensees  all  over  the  country, 

-  2  - 


7/30/43 


"England  attempted  to  find  the  answer  in  operating  its 
stations  through  the  British  Broadcasting  Corporation,  a  govern¬ 
mental  agency.  On  the  entertainment  side,  there  are  no  serious 
problems.  The  broadcaster  needs  listeners  before  he  can  sell  time, 
Just  as  a  newspaper  needs  circulation,  and  this  in  itself  is  suf¬ 
ficient  incentive  to  give  the  listeners  what  they  like.  There  is, 
of  course,  always  the  danger  that  news  of  one  nature  may  be  sur- 
pressed  or  played  down  and  news  of  a  different  nature  played  up, 
but  the  problem  here  is  the  same  as  in  the  case  of  newspapers,  and 
a  wide  latitude  must  be  allowed  to  the  broadcasters  in  determining 
what  is  newsworthy  and  what  is  not.  However,  the  practice  indulged 
in  by  broadcasters  and  network  officials  of  blue  penciling  the 
script  of  commentators,  where  the  remarks  are  neither  libelous  ^ 
nor  violations  of  the  Wartime  Code  of  the  Office  of  Censorship, 
is  a  cause  for  concern.  Even  where  the  blue  penciling  is  based  on  ' 
fear  of  libel,  the  question  is  presented  whether  or  not  the  libel 
laws  should  be  modified  to  encourage  greater  freedom  of  speech,  \ 

"The  greatest  problem  arises  in  the  field  of  public  dis¬ 
cussion,  and  here  I  think  the  danger  lies  not  in  what  is  permitted 
to  be  said  but  what  is  kept  from  being  said, 

"And  here  arises  the  question  as  to  whether  or  not  Con¬ 
gress  should  lay  down  further  standards  and  set  up  a  Board  of 
Review  to  pass  upon  complaints  of  unfair  exclusion  f rom  the  air, 

I  won’t  give  you  the  answer,  because,  frankly,  I  don’t  know  what 
it  should  be.  But  here  are  some  of  the  arguments  pro  and  con, 

"Arguments  for  leaving  complete  responsibility  with  the 
broadcaster: 

"1,  The  radio  is  an  instrument  of  expression  not  unlike 
the  newspaper  and  any  interference  whatsoever  with  the  discretion 
of  the  broadcaster  would  be  inconsistent  with  freedom  of  speech. 

"8.  Because  of  the  large  number  of  broadcasters  and  the 
diversity  of  their  own  prejudices  and  predilections,  the  errors  made 
in  one  direction  will  be  offset  by  those  made  in  the  other,  and 
there  will  be  an  automatic  balancing  which  will  assure  a  fair  over- 
all  presentaticn  of  all  points  of  view, 

"3.  Government  supervision  would  inevitably  lead  to 
political  pressure  and  would  offer  a  ready  means  by  which  the 
party  in  power  could  consolidate  its  position  at  the  expense  of 
the  minority  parties.  Likewise,  complaints  that  programs  favor¬ 
able  to  the  ’ins'  are  barred  would  receive  more  sympathetic  con¬ 
sideration  than  complaints  from  the  ’outs’. 

.1'4,  The  broadcasters,  and  particularly  the  independents, 
are  conscious  of  and  sensitive  to  the  problems  and  points  of  view 
of  their  communities,  and  any  centralized  supervision  would  tend  to 
Increase  the  time  devoted  to  a  discussion  of  national  problems  at 
the  expense  of  time  for  discussion  of  local  affairs. 


3 


7/30/43 


"Arguments  Against  Leaving  Complete  Responsibility  with 
the  Broadcasters: 

"1,  Broadcasters,  unlike  newspapers,  can  operate  only  by 
virtue  of  a  special  privilege  granted  to  them  by  the  Federal  Govern¬ 
ment,  namely,  the  use  of  radio  frequencies.  These  frequencies  are 
limited  in  number  and  belong  to  the  people  as  a  whole,  and  there¬ 
fore  the  Imposition  of  conditions  upon  which  they  may  be  used  is 
not  an  interference  with  freedom  of  speech, 

"2,  There  is  as  great  danger  of  pressure  from  private  economic 
groups  as  from  political  g roups.  The  greater  part  of  broadcasting 
revenue  comes  from  a  very  small  number  of  advertisers  who  have  a  life 
and  death  power  over  the  stations  which  they  can  exercise  in  their 
own  private  interests  without  accountability  to  anyone,  while  govern¬ 
ment  officials  are  accountable  to  Congress  and  therefore,  in  the 
final  analysis,  to  the  people  themselves.  Moreover,,  there  is  always 
minority  political  party  to  police  the  actions  of  the  majority  party 
and  bring  public  opinion  to  bear  against  the  majority  party, 

"3.  While  there  may  be  a  diversity  in  points  of  view  of  broad¬ 
casters,  tJais  diversity  operates  in  a  very  narrow  range,  as  they  all 
operate  under  the  same  general  business  principles  and  depend  upon 
the  same  economic  conditions  for  their  survival.  Therefore,  while 
they  may  have  some  differences,  such  as  those  which  exist,  say, 
between  Democrats  and  Republicans,  prohibitionists,  and • isolation¬ 
ists  and  interventionists,  they  would  have  a  common  hostility  to 
any  economic  or  political  theories  which  might  be  inconsistent  with 
their  way  of  doing  business  or  adverse  to  their  economic  interests. 

"4.  Under  present  law,  the  only  penalty  that  can  be  imposed 
upon  a  station  for  failure  to  act  in  the  public  Interest  is  revoca¬ 
tion  of  or  failure  to  renew  its  license,  and  this  punishment  is  too 
severe  to  be  inflected  upon  a  station  which  has  on  the  whole  render¬ 
ed  satisfactory  program  service  but  in  Isolated  cases  has  discrimin¬ 
ated  unfairly  against  individuals  or  groups.  Moreover,  the  individ¬ 
ual  or  group  discriminated  against  cannot  take  too  great  comfort  out 
of  seeing  the  broadcaster  punished  when  it  does  not  serve  the  pur¬ 
pose  of  getting  them  on  the  air  at  the  time  when  they  feel  their 
message  is  pertinent, 

"5,  The  commercial  broadcasters,  concerned  as  they  are  with 
keeping  their  listeners  and  advertisers,  would  be  disinclined  to 
permit  the  expression  of  a  point  of  view  that  might  be  unpopular 
with  even  a  portion  of  their  listeners,  however  sound  and  reason¬ 
able  the  point  of  view  might  be.  Moreover,  the  broadcasters  them¬ 
selves  are  in  position  to  influence  their  listeners  to  such  an 
extent  that  in  time  a  great  number  of  the  listeners  would  be  hostile 
to  any  point  of  view  that  did  not  coincide  with  the  line  that  the 
broadcasters  themselves  had  laid  down.  " 

XXXXXXXX 


4  - 


7/30/43 


COX  N.Y.  HEARING  TUESDAY  -  CLAIM  INDEPENDENTS  O.K.  FLY 


The  subcommittee  of  the  Cox  Committee  investigating  the 
Federal  Communications  Commission  will  meet  in  New  York  next 
Tuesday,  August  3rd,  instead  of  Monday  as  originally  scheduled. 

The  hearings  will  begin  at  10  A.M.  in  Room  110  of  the  Federal 
Reserve  Building  in  Foley  Square. 

Asked  if  he  had  had  any  reaction  to  the  charges  made  by 
Representative  Cox  that  the  FCC  was  terrorizing  the  broadcasting 
industry,  Chairman  James  L,  Fly  said  there  had  been  "quite  a  bit", 
particularly  from  the  smaller  independent  stations.  The  operator 
of  one  of  these  stations  wrote:  "The  Commission  is  the  smaller 
broadcaster’s  best  guarantee  for  fair  treatment  in  the  industry." 

Mr.  Fly  added: 

"There  has  been  some  backfire  from  stations  that  have 
been  pressed  by  the  staff  of  the  Committee  to  give  evidence  or  make 
statements  against  the  Commission  when  those  stations  were  unwill¬ 
ing  to  do  so.  There  has  been  a  pretty  broad  circularization  of  the 
various  stations  by  the  Committee's  counsel  in  an  effort  to  get  them 
to  make  statements  against  the  Commission,  and  in  certain  cases 
where  they  have  declined  to  make  such  statements,  they  received 
sharp  reprimands  from  the  counsel  of  the  Committee. " 

According  to  Drew  Pearson,  columnist,  who  has  taken  up 
the  cudgel  for  the  FCC,  the  Cox  investigation  has  degenerated 
chiefly  into  a  name-calling  contest  in  which  Chairman  Larry  Fly  is 
the  main  target. 

"Everything  that  happens,  no  matter  whether  it  pertains 
to  international  affairs  or  the  salary  of  a  stenographer,  is  blamed 
on  Fly",  Mr.  Pearson  writes, 

"Only  objector  to  the  antics  of  the  Cox  Committee  is  forth¬ 
right  Representative  Hart  of  New  Jersey. 

"The  other  day  Cox's  Committee  counsel,  Eugene  Garey, 
started  to  read  a  message  from  J.  Edgar  Hoover,  when  Cox  of  Georgia 
Interrupted  with  a  eulogy  of  Mr.  Hoover.  He  told  of  his  great  devo¬ 
tion  to  the  FBI  chief,  concluding  witn  the  ramark: 

"'At  one  time  we  wanted  to  vote  a  Congressional  Medal  to 
Mr.  Hoover,  * 

'"And  I  suppose',  said  Congressman  Hart  of  New  Jersey,  'that 
Chairman  Fly  blocked  that  too. '  " 

Taking  another  fling  at  the  investigation,  the  Washington 
Post,  which  is  also  lined  up  against  Representative  Cox  in  an 
editorial  captioned  "Dignity  of  Congress",  said: 


5 


7/30/43 


’^•It  Is  a  question  of  whether  the  dignity  of  Congress  Is 
to  be  respected  or  spurned,*  So  snoke  Mr.  Eugene  L.  Oarey  In 
protest  against  the  reluctance  of  Government  officials  to  give  con¬ 
fidential  Information  to  the  Cox  Committee  of  which  he  happens  to  be 
chief  counsel, 

“We  wonder  if  the  dignity  of  Congress  is  respected  when  a 
committee  counsel  is  permitted  to  browbeat  witnesses  in  star  chamber 
proceedings.  We  wonder  if  the  dignity  of  Congress  is  respected  when 
a  committee  counsel  subjects  witnesses  to  leading  questions  of  the 
'Have-you-stopped-beating-your-wife ?’  variety.  We  wonder  if  the 
dignity  of  Congress  is  respected  when  a  committee  counsel  conducts 
an  inquiry  on  the  ‘principle’  -  as  Mr.  Garey  felicitously  phrased 
it  -  of  *the  seizure  of  the  headlines’  and  the  ’principle’  -  again 
in  Mr.  Garey’ s  words  -  ’that  the  committee  must  keep  the  commis¬ 
sion’s  side  of  the  case  from  reaching  the  public.’ 

”We  wonder  how  much  dignity  Congress  will  have  left  if  it 
allows  this  Cox  Committee  travesty  on  the  American  Judicial  process 
to  continue,  ” 


XXXXXXXX 

U.S,  CENSOR  WARNS  FURTHER  ON  RADAR  PUBLICITY 


Folioring  a  recent  warning  from  the  War  Department  the 
following  further  admonition  has  been  addressed  to  broadcasters  and 
editors  by  Byron  Price,  Director  of  Censorship: 

"The  extent  of  current  public  discussion  of  radar  is  caus¬ 
ing  increasing  concern  to  the  Government. 

’’The  principle  of  radar  is  generally  understood  here  and 
abroad,  and  some  limited  disclosures  have  been  made  officially. 

New  methods  of  applying  the  principle  are  being  developed,  however, 
and  there  is  much  the  enemy  does  not  know. 

’’The  fact  of  prior  publication  should  not  be  used  to  cover 
added  description,  discussion,  and  deduction,  or  to  support  a  theory 
or  draw  a  conclusion, 

’’Radar  is  a  secret  weapon  within  the  meaning  of  the  Code. 
Editors  and  broadcasters  are  especially  requested  to  be  alert  to 
every  mention  of  radar  and  military  electronic  devices;  to  establish 
beyond  all  question  that  there  is  appropriate  authority  for  every 
statement  made;  and  to  submit  all  material  on  the  subject  -  other 
than  that  released  by  appropriate  Government  authority  -  to  the 
Office  of  Censorship  for  review  in  advance  of  publication  or  broad- 
case. 


”So  inclusive  a  request  would  not  be  made  if  the  highest 
considerations  of  national  security  were  not  directly  involved. ” 

XXXXXXXX 


-  f 


*'  ■“•r: 


•  J 


I 


r 


-  J.  J 

r  r  .V 


7/30/43 


PETRILLO  ORCHESTRA  OFFER  SEEN  AS  4TH  TEM  HOKUM 


One  gentleman  in  the  broadcasting  industry  laughed  long 
and  loud  about  the  plans  of  James  C.  Petrillo,  head  of  the  American 
Federation  of  Musicians  to  put  into  execution  what  was  said  to  be 
an  idea  of  President  Roosevelt  to  have  members  of  the  country’s 
leading  symphony  orchestras  give  free  concerts  in  smaller  commun¬ 
ities  which  ordinarily  do  not  have  an  opportunity  to  hear  good 
music. 


’’That  sounds  to  me  like  4th  term  hokum  to  catch  the  f  arm 
vote”,  he  ejaculated.  This  observer  looked  upon  the  ^500,000  fund 
of  the  A,  F.  M,  for  small  town  concerts  as  a  shrewd  way  of  con¬ 
tributing  to  President  Roosevelt’s  1944  campaign. 

Neville  Miller,  President  of  the  National  Association  of 
Broadcasters,  said  Mr.  Petrillo ’s  offer  was  ’’unequaled  for 
hypocracy, ”  Mr,  Miller  said  that  when  there  were  records  for 
the  home,  schools  and  radio  stations,  it  was  possible  for  "all  of 
our  citizens,  wherever  situated”,  to  hear  symphonic  music, 

”If  Mr.  Petrillo  were  sincerely  interested  in  the  welfare 
of  symphonic  music,  he  could,  by  lifting  his  ban,  permit  the  equi¬ 
valent,  not  of  570,  but  of  hundreds  of  thousands  of  times  570  con¬ 
certs”,  Mr.  Miller  added. 

The  fact  that  Mr.  Petrillo  had  been  playing  around  the 
White  House  came  as  a  surprise  to  many  in  the  industry  and  e  xplaln- 
ed  the  cock-sure  attitude  the  music  leader  has  maintained  in  his 
dealings  with  the  transcription  people  and  the  War  Labor  Board, 

If  the  WLB,  which  last  week  took  Jurisdiction  over  the 
controversy  between  the  American  Federation  of  Musicians  and  the 
seven  transcription  companies,  decides  that  Petrillo’ s  move  is  a 
’’strike”  and  not  a  "labor  dispute”,  it  will  order  musicians  to 
return  to  work  for  the  transcribers  and  then  proceed  with  adjudica¬ 
tion  of  the  case.  The  Board  has  the  power,  if  it's  necessary,  to 
formulate  a  new  contract  between  the  two  parties  and  put  it  in 
force,  ” 


It  was  said  at  WLB  this  morning  (Friday)  that  no  further 
action  would  take  place  for  the  next  few  days  at  least, 

XXXXXXXXX 


President  Roosevelt’s  radio  address  to  the  nation  July 
28th,  in  which  he  reiterated  his  demand  for  "unconditional  surren¬ 
der”  of  all  three  Axis  powers,  was  heard  by  a  listening  audience  of 
48,704,000  persons,  according  to  a  survey  made  by  C.  E.  Hooper, 

Inc.,  and  released  by  the  Columbia  Broadcasting  System. 

XXXXXXXX 


-  7 


7/30/43 


RADIO  BONER  PUTS  OWI  SHORT-WAVE  UNDER  HULL  BLUE  PENCIL 


The  net  result  of  OWI's  boner  of  Insulting  the  Italian 
King  by  short-wave  and  President  Roosevelt  blowing  up  with  indign¬ 
ation  is  a  hobbling  of  the  Overseas  Branch,  about  the  only  thing 
that  is  left  of  OWI,  by  virtually  putting  it  under  the  blue  pencil 
of  Secretary  Hull  and  the  cane- swinging  boys  at  the  State  Depart¬ 
ment, 


After  a  session  “in  the  woodshed”  with  Secretary  Hull, 
Robert  Sherwood,  Director  of  the  OWI  Overseas  Branch,  said  that 
there  would  be  no  change  in  the  method  of  handling  policy  questions, 
but  ”any thing  the  least  bit  controversial  will  be  referred  to  the 
State  Department  and  the  Joint  chiefs  of  staff”. 

Policy  with  respect  to  the  present  Badoglio  government 
in  Italy  was  canvassed  at  the  conference,  Mr.  Sherwood  said.  In 
addition  to  Secretary  Hull  and  Mr.  Sherwood,  the  session  was  attend-, 
ed  by  Milton  Eisenhower,  Acting  Director  of  OWI;  James  P,  Warburg, 
Director  of  0Wl»s  Overseas  Service  in  New  York  City;  Michael 
McDennott,  press  relations  chief  of  the  State  Department,  and  Robert 
Pell,  State  Department  liaison  officer. 

Joseph  Barnes,  Deputy  Director  of  the  Overseas  Branch  of 
the  OWI  in  New  York  City,  said  there  that  he  and  James  P,  Warburg 
accepted  responsibility  for  the  broadcast  in  which  King  Victor 
Emmanuel  was  described  as  ”the  moronic  little  King”  and  Marshal 
Badoglio  as  ”a  high-ranking  Fascist”, 

Mr.  Barnes  said  that  neither  he  nor  Mr.  Warburg  had  actu¬ 
ally  written  the  script  but  that  they  were  responsible  for  the  con¬ 
text  of  the  broadcasts  as  prepared  by  the  OWI  staff  of  news  writers. 

There  was  further  embarrassment  for  the  OWI  in  the  charge 
by  Joseph  P,  Kamp  of  the  Constitutional  Educational  League  that  the 
Overseas  Branch  had  paid  a  15  year  refugee  boy,  who  had  only  been 
in  the  country  a  few  months,  a  salary  of  $380  a  year, 

Mr,  Kamp  also  charged  that  an  employee  of  the  Foreign  Lan¬ 
guage  Section  of  OWI,  David  Karr,  has  admitted  inability  to  read  or 
translate  any  foreign  language  and  that  he  was  for  two  years  ”a 
part-time  worker  on  the  staff  of  the  Communist  organ,  the  Daily 
Worker”, 


An  OWI  spokesman,  commenting  on  the  charges,  said  neither 
Weiner  nor  Karr  now  are  employed  by  the  agency. 

Weiner,  he  said,  was  used  for  three  months  earlier  this 
year  on  youth  programs  short-waved  to  France  and  was  paid  only  for 
the  time  he  worked.  He  was  paid  between  $200  and  $300  and  has  not 
been  employed  since  May  15,  he  added. 

XXXXXXXX 


8 


7/30/43 


BLUE  NETWORK  REPORTED  SOLD  FOR  8  MILLION 


A  New  York  dispatch  reported  that  sale  of  the  Blue  Net¬ 
work  has  been  made  to  the  group  headed  by  James  H,  McGraw,  Jr,, 
President  of  the  McGraw-Hill  Publishing  Company,  and  Edward  J,  Noble, 
Chairman  of  Life  Savers  Candy  Corporation. 

”A  price  of  $8,000,000  was  reported  offered  to  the  Radio 
Corporation  for  the  network,  which  was  reported  as  being  acceptable, 
subject  to  Government  approval”,  the  dispatch  goes  on. 

"Final  papers  have  not  yet  been  signed  nor  has  approval 
of  the  Federal  Communications  Commission  been  obtained,  although 
the  way  is  believed  cleared  for  early  consummation  of  the  sale. 

"Sale  of  the  system  was  ordered  by  the  FCC  in  1941,  It 
was  set  up  as  a  separate  system  in  January  1942  as  a  step  toward 
divorcing  it  from  the  Red  network  of  National  Broadcasting  Company, 
all  owned  by  R.  C.  A. 

"Mr.  Noble  is  the  owner  of  Station  WMCA  in  New  York, 

Under  FCC  rulings  pertaining  to  ownership  of  more  than  one  radio 
station,  it  is  believed  this  station  will  either  be  sold  or  merged 
with  Station  WJZ  of  the  Blue, " 

XXXXXXXX 


BATTLE  FOR  MILLER  RESIGNATION  EXPECTED  TO  BE  RENEWED 


If  prearranged  strategy  is  followed,  there  will  be  a 
renewal  of  the  battle  to  get  the  scalp  of  Neville  Miller,  President 
of  the  National  Association  of  Broadcasters,  when  that  organiza¬ 
tion’s  Directors  meet  in  Chicago  today  (Friday).  Being  groomed  to 
take  his  place  is  William  B.  Lewis,  former  Deputy  Chief  of  the 
Office  of  War  Information,  It  was  expected  that  Mr,  Lewis  would 
return  to  his  old  position  of  Vice-President  of  the  Columbia  Broad¬ 
casting  System,  but  apparently  that  fell  through.  At  any  rate,  Mr. 
Lewis  is  being  backed  to  succeed  Neville  Miller.  It  will  take  17 
out  of  25  votes  to  oust  Mr,  Miller  and  his  proponents  say  that  the 
opposition  simply  haven’t  that  many  votes.  On  the  other  hand,  the 
the  faction  seeking  to  dislodge  the  NAB  President  say  they  profited 
by  the  last  encounter  against  Mr,  Miller  and  that  this  time  they 
will  not  lose. 

If  the  NAB  Board  endorses  a  resolution  asking  for  Mr, 
Miller's  resignation,  full  settlement  will  be  made  of  the  remaining 
terra  of  his  contract,  which  expires  in  June,  1944.  Mr.  Lewis 
will,  according  to  plans,  take  office  Sept.  1.,  Mr.  Miller's  salary 
is  $35,000  a  year.  It  is  reported  that  Mr,  Lewis  has  been  offered 
$50,000. 


.r 


••  i 


V 


7/30/43 


Ir  Mr.  Miller  is  forced  out,  it  will  be  chalked  down  as 
a  victory  for  Chairman  James  L,  Fly,  who  has  been  openly  accused 
of  trying  to  bring  about  the  former's  downfall  -  most  recently  at 
the  Cox  Committee  investigation.  Things  have  never  been  right 
between  Messrs.  Fly  and  Miller  since  the  big  row  they  had  at  the 
St.  Louis  convention  and  probably  never  will  be  until  one  or  the 
other  is  eliminated  from  the  picture, 

XXXXXXXXX 


ANOTHER  APPROACH  POSSIBLE  IF  FDR  DEFEATS  KERR  RIDER 


Considering  the  Goodwin  Watson  ouster  in  the  Kerr  legis¬ 
lative  rider,  Robert  Albright  writes  in  the  Washington  Post; 

"Some  Congressmen,  who  doubt  with  the  President  the  con¬ 
stitutionality  of  the  Kerr  rider  to  the  urgent  deficiency  bill 
•firing*  by  name  three  Federal  employees,  are  already  discussing  a 
more  sweeping  but  probably  constitutional  approach, 

"If  the  Kerr  rider  is  knocked  out  by  the  courts,  this 
group  plans  to  strike  again  at  Government  employees  connected  with 
allegedly  'subversive'  organizations  by  blanket  legislation  redefin¬ 
ing  Civil  Service  qualifications  for  office, 

"The  Kerr  amendment  appears  clearly  headed  for  the  court 
skids  because  it  not  only  discriminates  but  in  effect  Impeaches 
named  officials  without  a  trial. 

"Ironically,  the  courts  might  have  to  uphold  the  more 
general  legislative  approach,  although  actually  it  would  indis¬ 
criminately  bar  from  Federal  office,  without  naming  names,  a  far 
greater  number  who  could  not  meet  the  prescribed  'standard'," 

XXXXXXXXX 


TELEGRAPHIC  CARRIERS  REACH  DEAL  ON  TRAFFIC 


The  Western  Union  Telegraph  Co,  and  R,  C.A.  Communications. 
In.  have  agreed  on  the  division  of  international  traffic  in  connec¬ 
tion  with  a  plan  for  merging  Western  Union  and  Postal  Telegraph  com¬ 
panies. 


This  was  disclosed  Wednesday  at  a  hearing  on  the  merger 
before  the  Federal  Communications  Commission,  but  Chairman  James  L, 
Fly  blocked  attempts  to  put  evidence  concerning  the  agreement  into 
the  record. 

Frank  B,  Warren,  general  counsel  of  the  R. C.A.C.,  stated 
that  so  far  as  Western  Union  and  R.C.A, C,  are  concerned  they  are  in 
agreement,  Mr.  Fly  commented  that  discussion  of  this  could  be  put 


10  - 


f 

V 


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a. 


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; 


off  and  the  hearing  proceeded  vrith  technical  testimony, 

RCAC  operates  entirely  in  the  international  field  with 
domestic  offices  in  only  three  cities.  Elsewhere  Western  Union 
offices  handle  RCAC  traffic.  Through  a  long-standing  agreement 
Western  Union  turns  over  to  RCAC  two  foreign  destination  messages 
for  each  nine  foreign  originated  messages  which  RCAC  turns  over  to 
Western  Union  for  delivery  in  the  United  States. 

RCAC  asked  the  Commission  to  order  a  division  formula 
more  favorable  to  it  and  a  week  ago  the  Commission  asked  the  com¬ 
panies  to  try  to  work  out  a  plan.  Mr.  Warren  said  this  had  been 
done. 


xxxxxxxx 

OP A  ADJUSTS  CEILING  PRICES  ON  WIRE,  CABLE 


Provisions  for  the  individual  adjustment  of  ceiling 
prices  for  producers  and  sellers  of  wire,  cable  and  cable  acces¬ 
sories  similar  to  adjustment  provisions  recentl/made  available  to 
manufacturers  of  essential  machinery  were  announced  by  the  Office 
of  Price  Administration  today  (Friday). 

The  action,  contained  in  Amendment  No.  4  to  Revised  Price 
Schedule  82  (Wire,  Cable  and  Cable  Accessories),  which  becomes 
effective  August  4,  1943,  is  confined  to  cases  cjialifying  under 
rigid  tests  of  essentiality  of  the  seller  and  the  product. 

The  new  adjustment  provisions  are  substantially  the  same 
as  set  forth  in  Amendment  No,  78  to  Maximum  Price  Regulation  No, 
136. 


Generally,  the  new  provisions  will  permit  OPA  to  adjust 
prices  after  it  has  ascertained  that  ceiling  prices  are  at  such  a 
level  that  supply  of  vital  wire  or  cable  is  imoeded  or  threatened 
provided  that  the  adjusted  price  will  not  cause  an  Increase  in  the 
cost-of-living. 


XXXXXXXX 

Walter  russ,  mackay  radio  marine  div.  supt.  ,  dies 

Walter  V.  Russ,  43  years  old.  Manager  of  the  Marine  Divi¬ 
sion  of  Mackay  Radio  and  Telegraph  Com.pany,  an  associate  of  Inter¬ 
national  Telephone  and  Telegraph  Corooration,  died  last  Monday  at 
Lynbrook,  Long  Island, 

Born  and  educated  in  Portland,  Oregon,  he  was  formerly 
Assistant  Radio  Inspector  for  the  Commerce  Department.  Shortly  the 
thereafter  he  accepted  a  post  with  the  Kolster  Ra.dio  Corporation 
in  Newark,  N.  J,  ,  as  a  District  Service  Manager.  After  four  years 
with  Kolster  he  went  to  the  Pacific  Coast  with  Westinghouse, 

Mr.  Russ  joined  Mackay  Radio  and  Telegraph  Company  in 
1935  in  the  company •'s  San  Francisco  office,  and  was  transferred  to 
New  York  as  Superintendent  of  the  Marine  Division  in  1937;  he  was 
made  Manager  of  the  Division  in  1941, 

XXXXXXXX 


11  - 


Heinl  Radio  Business  Letter 

2400  CALIFORNIA  STREET  WASHINGTON,  D.  Cp^CEIVEO 

flip  '  tQ'' 

_  -  m.jU 


New  Short- Wave  Spook  Spokesman  Embarrasses  OWI . 1 

Miller  Hanging  On,  Bad  News  To  Fly,  Who  Keeps  Mura . 

American  Mass  Methods  Speed  Up  Radio  Production.. . 5 

FCC  Awaits  Blue  Net  Sale  Application. . 6 

House  Action  To  Abolish  OWI  planned  By  Rep,  Barry . 8 

Only  He  Can  Afford  Free  Music,  Petrlllo  Tcld. . 8 

Trade  Notes . 10 

New  Sylvania  President  Old  Timer  In  Radio . 11 

WJZ  Makes  New  Survey  Of  Listening  Habits . 11 


No,  1550 


00. 


August  3,  1943 


NEW  SHORT-WAVE  SPOOK  SPOKESMAN  EMBARRASSES  OWI 


Having  quickly  killed  off  ’’John  IXl^fee'^  Its  invisible 
speaker  who  as  "The  Voice  of  America"  insulted  King  Victor 
Emmanuel  III  by  short-wave,  mortification  was  added  to  the  Office 
of  War  Information  in  discovering  that  another  dummy  short-wave 
speaker  "Walter  Herrick"  was  still  on  the  Job,  "Durfee"  apparently 
handled  matters  of  policy  which  were  too  delicate  to  be -credited  to 
any  one  person.  He  was  a  sort  of  diplomatic  Charlie  McCarthy 
whereas  "Herrick",  supposed  to  be  a  military  analyst,  was  the 
Mortimer  Snurd  in  that  particular  field. 

Whether  any  one  person  impersonates  "Herrick"  is  not  known 
but  it  was  said  that  "John  Durfee",  who  voiced  the  attack  of  Samuel 
Grafton  on  the  Italian  King  was  James  P.  Warburg,  the  well-known 
author,  now  with  the  O.W.I.  In  the  meantime,  the  newspapers  con¬ 
tinue  to  fume. 

"It  took  the  world- shaking  news  from  Rome  to  rattle  loose 
from  his  moorings  in  the  closet  of  the  Office  of  War  Information  a 
hitherto  unheard-of  skeleton,  by  name  John  Durfee",  says  the 
Washington  Daily  News  ( Scripps- Howard) ,  "Durfee,  it  develops,  is 

an  ^'American  political  commentator*  whose  utterances  are  quoted  by 
the  OWI  in  its  propaganda  broadcasts  to  foreign  lands.  The  dif¬ 
ference  between  Durfee  and  other  commentators  is  that  there  is  no 
Durfee.  He  is  only  an  articulate  wraith  dreamed  up  by  the  ingen¬ 
ious  OWI  -  an  ectoplasmic  straw  man  beckoned  out  of  the  cosmos  to 
serve  the  purposes  of  ‘psychological  warfare 

"Elmer  Davis  and  his  assistants  have  often  emphasized  the 
•factual*  nature  of  their  expensive  outgivings,  both  for  the  foreign 
and  domestic  trade.  They  never  mentioned  John  Durfee  before.  And 
at  this  writing,  in  spite  of  numerous  inquiries,  they  have  not  yet 
been  able  to  explain  why,  with  all  the  galaxy  of  flesh- and- blood 
commentators  available  for  quotation,  they  must  conjure  up  this 
spook, 

"The  whole  tnlng  smells  of  dishonesty. 

"John  Durfee  is  one  more  reason  why  OWI*s  Overseas  Divi¬ 
sion  should  be  turned  over  to  the  StateDepartment,  which  seems  to 
know  a  little  more  about  American  foreign  policy  than  the  OWI, " 

David  Lawrence,  the  columnist  wrote: 

"The  raixup  over  the  sending  out  as  ’The  Voice  of  America* 
a  short-wave  broadcast  under  the  auspices  of  the  OWI,  which  in  a 
moment  of  delicate  crisis  began  calling  the  new  Italian  government 
names,  is  not  one  that  has  been  satisfactorily  resolved  and  more 
may  be  heard  about  it  when  Congress  reconvenes. " 


1 


4<i* 


‘.V 


8/3/43 


”The  ’moronic'  Italian  King  short-wave  incident”,  ob¬ 
serves  Mark  Sullivan,  ”is  no  momentary  tempest.  Understand  it  and 
you  will  get  a  light  on  problems  and  embarrassments  facing  us  in 
the  fighting  in  Europe.  '* 

Berryman  had  a  cartoon  in  the  Washington  Star  showing 
Robert  Sherwood,  the  well  known  playwright,  now  head  of  the  OWI 
Overseas  Branch,  which  pulled  the  prize  boner  of  the  century, 
standing  at  a  microphone.  In  the  background  was  Secretary  Hull 
plunking  away  at  a  typewriter.  President  Roosevelt  was  saying  to 
Sherwood:  "You  do  the  broadcasting.  Bob,  but  Cordell  Hull  will 

write  the  script  and  remember—  no  ad  libbing!  This  isn't  play¬ 
writing.  This  is  war.  " 

William  Philip  Simms,  of  the  United  Press  wrote: 

"President  Roosevelt's  public  spanking  of  OWI  for  over¬ 
stepping  the  bounds  in  its  radio  remarks  beamed  abroad  brought 
delight  to  foreign  envoys  here,  together  with  the  fervent  hope  that, 
at  long  last,  a  much-needed  reform  was  on  the  way.  For  a  long  time 
now,  the  Overseas  Branch  of  the  Office  of  War  Information  has  been 
a  perpetual  headache,  not  only  for  many  diplomats  here  but  for 
their  governments,  mostly  in  exile.  They  say  that  a  considerable 
proportion  of  the  broadcasts  beamed  to  their  countries  do  more  harm 
than  good,  " 

"The  man  who  prompted  Roosevelt  to  rebuke  the  OWI  for 
calling  Vittorio  Eraanueie  a  moron  was  Admiral  Leacy",  Drew  Pearson 
observed.  "He  hotly  footed  it  over  to  the  White  House  immediately, 
warned  the  President  there  was  no  use  heaping  abuse  on  the  new 
Italian  government  until  it  had  a  chance  to  act. 

"Trouble  was  that  OWI's  broadcasts  have  been  operated  by 
a  group  of  well-meaning  Italian  exiles  who  are  so  close  to  the 
situation  they  don't  see  the  over-all  long  range  picture, " 

The  Washington  Star  said: 

"Short-wave  news  and  propaganda,  is  broadcast  by  the  Over¬ 
seas  Operations  Branch  of  OWI  afterthe  announcer's  introduction, 
'This  is  the  Voice  of  America,  one  of  the  United  Nations',  It  is 
obvious  that  the  words  spoken  by  this  'Voice  of  America'  should  be 
selected  with  meticulous  care,  in  conformity  with  an  over-all  pol¬ 
icy  precisely  defined  by  the  Secretary  of  State,  acting  for  the 
President.  The  incredible  thing  is  that  this  evidently  has  not  been 
the  case  until  the  OWI  fumbled  a  foreign  broadcast  concerning  ’the 
moronic  little  King'  of  Italy  and  brought  a  rebuke  from  the  Presi¬ 
dent.  Robert  E.  Sherwood,  Director  of  the  Overseas  Operations 
Branch  of  OWI,  conferred  with  Secretary  Hull  and  indicated  after¬ 
ward  that  everything  was  now  understood.  But  why  was  this  not  done 
in  the  first  place?  OWI  has  made  a  number  of  mistakes,  -sdilch  it 
has  been  comraendably  frank  in  admitting,  in  the  past.  But  an  odd 
tnlng  about  OWI  mistakes  is  that  the  top  men  never  seem  to  have 
realized  they  were  mistakes  until  somebody  .else  told  them  so,  " 

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"In  the  Judgment  of  this  observer,  the  Office  of  War 
Information,  our  chief  agency  of  propaganda,  fell  down  lamentably 
in  its  treatment  of  Mussolini’s  fall  from  power",  William  L, 

Shirer,  columnist  and  radio  commentator,  concluded.  "It  muffed 
completely  the  greatest  propaganda  opportunity  of  the  entire  war, 

"The  event  was  stupendous,  our  opportunity  great.  And 
yet  all  this  great  Nation,  whose  armies  in  Sicily,  whose  bombers 
over  Italy,  had  contributed  so  much  to  chasing  the  Tyrant  from  Rome,- 
had  to  say  to  the  world  about  it  was  that  it  was  of  no  importance* 
"Ther^  were  the  millions  of  enslaved  peoples  of  Europe 
waiting  breathlessly  to  hear  if  the  news  was  as  good  as  it  had  first 
seemed, 

"But  from  the  powerful  American  transmitters  of  OWI,  to 
which  so  many  of  them  look  for  honest  and  objective  guidance  in 
evaluating  the  day’s  news,  all  they  heard  was  a  qiotation  from  a 
New  York  columnist;  ’It  changes  nothing  in  Italy.* 

"This  correspondent  could  not  believe  his  ears  and  eyes, 
Berlin,  citadel  of  the  Axis,  was  flabbergasted  by  the  news.  Dr, 
Goebbels,  for  the  first  time  in  his  life,  did  not  know  what  to  say. 
That  was  evident  to  anyone  listening  in  to  Berlin,  Yet  the  Voice 
of  America  was  telling  Italians  and  Geraans  and  the  occupied  peoples 
that  ’there  is  still  no  reason  to  believe  that  the  essential  nature 
of  the  Fascist  regime  in  Italy  has  changed, ' 

"And  an  American  commentator  for  OWI  was  informing  them 
that  ’for  the  American  people,  the  resignation  of  Mussolini  is 
welcome  news,  but  it  is  not  considered  here  to  be  an  event  of  great 
Importance, * 

"Good  God’  Not  an  event  of  great  importance*  As  Church^ 
ill  was  to  say  the  next  day,  Tuesday,  Mussolini’s  end  marked  *the 
close  of  an  epoch  in  the  life  of  Italy.  The  keystone  of  the  Fasc¬ 
ist  arch  has  crumbled  and  without  attempting  to  prophesy,  it  does 
not  seem  unlikely  that  the  entire  Fascist  edifice  will  fall  to  the 
ground  in  ruins,  if  it  has  not  already  so  fallen, ’ 

"I  do  not  believe  the  American  people  were  so  stupid  or 
uninformed  as  to  believe  that  Mussolini’s  downfall  was  not  an  event 
of  great  importance. 

"Our  British  friends  turned  out  to  be  more  astute  propa¬ 
gandists,  The  first  words  of  a  BBC  broadcast  in  German  to  the 
German  people  only  three  hours  after  the  announcement  of  the  Duce’s 
end  said: 

"’The  world  today  witnessed  the  collapse  of  fascism  in 
Italy,  the  prelude  to  the  dissolution  and  end  of  fascism  and  nation¬ 
al-socialism  throughout  the  world,  * 

"The  news,  we  are  told  by  the  Berlin  correspondent  of  the 
Stockholm  paper  Dagens  Nyheter,  hit  all  Germans  ’like  a  bombshell. 
Nobody  could  deny  that  it  is  the  biggest  shock  of  tnis  war  for  the 
Germans,  * 

"But  when  there  were  the  OWI  transmitters  telling  them 
that  'it  changes  nothing  in  Italy’,  that  the  American  people  did 
not  consider  it  ’to  be  an  event  of  great  importance’,  that  ’there 
is  no  reason  to  believe  that  the  essential  nature  of  the  fascist 
regime  in  Italy  has  changed,*" 

xxxxxxxx 

-  3  - 


( 


8/3/43 


MILLER  HANC-IvaON,  BAD  NEWS  TO  FLY  WHO  KEEPS  MUM 


Although  credited  with  being  one  of  the  chief  factors  in 
the  move  to  pry  Neville  Miller  loose  from  his  $35,000  job  as  Presi¬ 
dent  of  the  National  Association  of  Broadcasters,  Chairaan  James  L, 
Fly  of  the  Federal  Communications  Commission  made  no  comment  upon 
the  failure  of  the  latest  attempt  to  unseat  Mr.  Miller.  Usually 
three  strikes  are  out  but  this  was  not  the  case  with  Mr.  Miller, 
who  at  Chicago  last  week  successfully  resisted  the  third  attempt  to 
oust  him  from  the  presidency. 

Likewise  those  about  Mr.  Miller  had  no  comment  to  make. 
Although  there  has  been  considerable  Improvement  in  the  handling 
of  NAB  publicity  since  this  was  taken  over  by  Walt  Dennis,  an  old 
Hearst  man,  not  a  line  was  given  out  in  Washington  about  the 
Chicago  meeting.  Inquiries  were  referred  to  Willard  Egolf,  an 
assistant  to  Mr,  Miller,  who  attended  the  meeting.  Either  Mr.  Egolf 
was  gagged  or  inexperienced  in  talking  with  Washington  correspond¬ 
ents. 


"You  saw  the  resolutions  that  were  passed  at  Chicago",  he 

Said. 

"Yes,  but  what  do  you  think  -  "  the  inquiring  reporter 
started  to  ask, 

"I  was  told  to  give  out  those  resolutions",  Mr.  Egolf  cut 
in,  "and  not  to  think.  " 

One  of  the  resolutions  expressed  appreciation  to  William 
B.  Lewis,  late  of  the  OWI  and  former  Vice  President  of  the  Columbia 
Broadcasting  System  for  withdrawing  his  name  as  a  possible  suc¬ 
cessor  to  Mr,  Miller,  There  was  also  reportedly  a  deal  on  for  Mr. 
Lewis  to  go  in  as  vice-president  until  Mr.  Miller’s  term  expires 
next  June  but  the  "Crown-Prince"  idea  apparently  didn’t  go  so  well 
either.  The  feeling  was  that  if  Mr.  Lewis  made  a  fight  for  Mr. 
Miller's  place,  this  would  cause  a  row  within  the  industry  which 
might  bring  down  the  wrath  of  Representative  Cox,  of  Georgia,  and 
maybe  result  in  the  industry  getting  investigated  so  that  was  con¬ 
siderable  relief  when  Mr.  Lewis  asked  that  his  name  be  withdrawn. 

Nor  did  there  seem  to  be  much  likelihood  that  Mr.  Lewis  would  be  a 
candidate  for  Mr.  Miller’s  place  in  1944.  "I'd  bet  $50  that  he 
will  not  be",  one  broadcaster  said.  "Furthermore,  I’d  bet  the  same 
that  Bill  Lewis  will  have  another  Job  within  30  days.  " 

Another  resolution  said  the  purpose  of  the  Chicago  meet¬ 
ing  was  "misrepresented  to  some  sections  of  the  Industry  as  bearing 
on  the  termination  of  the  contract  of  the  Incumbent  president 
before  the  termination  thereof".  This  was  taken  to  be  a  bit  of 
camouflage. 

The  NAB  Board  at  Chicago  named  a  Nominating  Committee  of 
six  to  make  recommendations  for  a  President  of  the  Association  to 
take  office  following  the  expiration  of  Mr.  Miller’s  term  next  June. 


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The  Committee  members  who  are  to  report  at  the  next  regu¬ 
lar  meeting  of  the  Board  or  at  a  special  meeting  called  for  this 
purpose  are  Don  S.  Elias,  WWNC,  Asheville,  N, C, ;  G.  Richard  Shafto, 
WIS,  Columbia,  S.  C.  ;  Jonn  G-,  Gillln,  Jr.  ,  WOW,  Omaha,  Nebr.  ;  J.  0. 
Maland,  WHO,  Des  Moines,  Iowa;  James  D.  Shouse,  WLW  Cincinnati, 
and  Paul  W,  Morency,  WTIC,  Hartford,  Conn,  ’ 

Notwithstanding  the  apparent  effort  to  soft-pedal  differ¬ 
ences  at  Chicago,  it  is  believed  the  Cox  Committee  may  still  ask 
some  embarrassing  questions  about  the  meeting  there  but  exactly 
what  these  questions  will  be,  if  any,  only  the  hot-tem’-^ered 
Congressman  from  Georgia  will  be  able  to  tell. 

X  X  X  X  X  X  X 


AMERICAN  MASS  METHODS  SPEED  UP  RADIO  PRODUCTION 


Quantity  production  of  radio  equipment  for  the  armed  for¬ 
ces  was  only  possible  after  American  mass  production  methods  were 
applied  to  the  diamond  die  industry,  Charles  E.  Wilson,  Executive 
Vice-Chairaan  of  the  War  Production  Board  said  today. 

Indispensible  in  the  radio  equipment  progrsm ,  he  explain¬ 
ed,  is  a  coil  of  wire  so  fine  that  it  is  invisible  to  the  eye.  One 
pound  of  it  will  span  a  hundred  miles. 

This  wire  must  be  drawn  through  precisely  drilled  diamond 
dies.  Prior  to  the  war,  there  was  no  diamond  die  industry  in  this 
country  making  the  smaller  dies  needed  for  this  purpose.  Our  small 
requirements  were  filled  in  France  and  the  Low  Countries,  where  die 
craftsmen  had  been  trained  for  generations, 

”We  were  up  against  it”,  Mr.  V/ilson  said.  ”We  desperately 
needed  that  wire.  We  had  to  have  craftsmen  who  could  fashion  the 
diamond  dies.  After  a  thorough  search  we  found  half  a  dozen  and 
persuaded  them  to  go  to  work  at  their  old  calling.  There  was  a 
shortage  of  tools,  too,  but  with  government  aid,  four  small  work¬ 
shops  were  set  up  in  an  effort  to  build  this  vitally  needed  industry. 

"The  next  step  was  to  see  to  what  extent  we  could  apply 
the  use  of  machines  to  producing  the  dies  on  a  larger  scale.  As  a 
result  of  experiments  conducted  first  in  Britain  and  then  in  this 
country,  we  have  perfected  a  machine  which  can  drill  from  eight  to 
12  dies  at  one  time,  instead  of  making  them  singly,  by  hand,  as  was 
the  Old  World  custom. " 

"WPB  also  set  up  an  experimental  laboratory  at  the  Bureau 
of  Standards  to  improve  processes  and  make  dies  with  a  longer 
operating  life",  he  ^id.  "These  scientists  are  on  the  road  to 
some  significant  discoveries. 

"The  more  wire  we  can  draw  through  each  individual  die, 
the  fewer  dies  we  need.  While  this  work  is  still  going  on,  we  have 


r,  i 


8/3/43 


found  ways  to  greatly  lengthen  the  life  of  the  die,  which  was 
normally  limited  to  the  drawing  of  one  pound  of  wire, ” 

Mr,  Wilson  pointed  out  that  the  die  which  draws  as  many 
as  25  pounds  or  2,500  miles  of  wire  is  preserved  as  a  museum 
piece,  but  added,  ”We're  getting  more  of  those  museum  pieces.” 

At  the  beginning  of  the  year,  it  was  estimated  that  the 
United  States  would  need  between  25,000  and  30,000  of  the  critical 
small-sized  diamond  dies.  At  the  time  that  seemed  like  a  hopeless 
task,  Mr.  Wilson  said.  Today  it  appears  quotas  will  be  met  and 
next  year  may  see  the  end  of  the  many  problems  and  fears  that  faced 
this  infant  industry. 

"We  still  have  production  problems  in  radio”,  Mr.  Wilson 
went  on,  "but  we  can  safely  say  that  this  particular  bottleneck  has 
been  broken,  " 


xxxxxxxx 

FCC  AWAITS  BLUE  NET  SALE  APPLICATION 


Although  there  is  an  informal  understanding,  the  actual 
application  for  the  transfer  of  the  stations  Involved  in  the 
$8,000,000  sale  of  the  Blue  Network  to  Edward  J.  Noble,  the  Life 
Saver  Candy  King,  and  former  Under  Secretary  of  Commerce,  has  not 
reached  Washington.  While  the  sale  is  a  big  victory  for  Chairman 
James  L,  Fly  and  the  Federal  Communications  Commission,  whose  regu¬ 
lations  brought  about  the  sale  and  unquestionably  the  transaction 
will  be  approved,  nevertheless  with  Representative  Cox  of  Georgia 
trying  to  get  something  more  on  them,  they  are  checking  into  the 
Interests  associated  with  Mr.  Noble  in  the  deal. 

"Mr,  Noble  has  taken  full  responsibility  for  the  purchase, 
but  there  is  some  uncertainty  as  to  what  persons  or  interests  will 
come  in  with  him",  Mr.  Fly  told  a  press  conference.  •^^Jaturally 
the  Commission  will  want  to  know  who  all  of  the  owners  are, " 

While  explaining  that  he  was  not  expressing  approval  of 
the  sale,  Mr.  Fly  said  he  thought  disposal  of  the  Blue  Network  by 
Radio  Corporation  of  America  represented  "a  fine  and  good  example 
of  industry  cooperation  with  Government. " 

Mr.  Fly  was  in  Ne?^  York  when  the  deal  was  closed.  Orig¬ 
inally  James  H.  McGraw  of  the  McGraw-Hill  Publishing  Company  was 
in  on  it  but  was  supposed  to  have  backed  out  for  fear  that  his  be¬ 
ing  in  the  publishing  business  might  conflict  with  the  FCC* s  pend¬ 
ing  order  on  newspaper  ownership. 

There  is  still  the  matter  of  selling  of  Mr.  Noble *s 
Station  WMCA  for  which  he  paid  $850,000  in  cash  in  1941.  It  was 
denied  that  the  New  York  Times,  which  broadcasts  news  bulletins 
over  the  station  would  purchase  it.  There  was  some  talk  that  Don 


-  6  - 


8/3/43 


Flamm,  previous  owner,  might  try  to  buy  It  bach.  Mr.  Flamm  charged 
that  pressure  was  exerted  forcing  him  to  sell  the  station  and  this 
was  one  of  the  charges  the  Cox  Committee  was  expected  to  go  into. 

In  discussing  the  acquisition  of  the  Blue  Network,  Mr, 
Noble  said:  ”I  have  been  tremendously  impressed  with  the  Blue 
Network* s  record  of  public  service,  with  the  work  of  its  management 
and  personnel  and  particularly  with  its  contributions  to  our  Na¬ 
tion's  War  effort, 

"There  will  be  no  change  in  the  management.  The  officers 
and  executives  who  have  guided  the  destinies  of  the  Blue  Network 
since  its  separation  will  continue  at  the  helm.  The  entire  person¬ 
nel  will  be  retained  and  the  Network  will  continue  functioning  as 
he retofore. 


"The  policies  and  practices  which  have  been  responsible 
for  the  Network's  record  of  accomplishment  will  be  continued.  As 
a  matter  of  fact,  the  Network  officials  plan  to  extend  its  services 
to  listeners,  advertisers  and  its  affiliated  stations. " 

Continuing,  Mr.  Noble  said,  "I  accept  fully  the  respons¬ 
ibility  of  public  service  which  ownership  of  the  Blue  Network  will 
place  upon  me.  In  fact,  I  regard  this  responsibility  to  the  people 
much  as  an  elected  official  sees  his  responsibility  to  the  public. 
In  every  phase  of  broadcasting  -  public  service,  the  all-important 
war  service,  news,  information,  entertainment  -  the  Blue  will  con¬ 
tinue  to  serve  its  listeners  and  to  increase  its  service  to  the 
Nation. " 


Mr.  Noble  presently  is  the  owner  of  Station  WMCA  in  New 
York  City.  In  this  connection  he  stated:  "The  principal  station 
of  the  Blue  Network,  WJZ,  is  operated  from  New  York  City.  In 
accordance  with  the  current  policies  of  the  FCC,  I  propose  to 
dispose  of  all  my  interest  in  WMCA  as  soon  as  a  suitable  purchaser 
is  found.  " 


Mark  Woods,  President  of  the  Blue  Network,  expressed  him¬ 
self  as  being  pleased  with  the  new  ownership,  "As  the  first  Chair¬ 
man  of  the  Civil  Aeronautics  Authority,  1938-39,  and  as  President 
of  the  Board  of  Trustees  of  St.  Lawrence  University,  Mr.  Noble  is 
Imbued  with  the  fundamental  concept  of  public  service.  He  repre¬ 
sents  the  type  of  forward  looking  man  that  assures  the  continued 
operation  of  the  Blue  Network  in  the  public  interest",  declared  Mr, 
Woods, 


XXXXXXXX 

How  should  educational  methods  be  revised  in  the  post-war 
world  to  insure  against  another  war?  What  steps  will  have  to  be 
taken  to  re-educate  the  Nazi-bred  youth  of  Germany?  These  are  some 
of  the  questions  which  will  be  considered  when  Willard  E,  Givens, 
of  the  National  Education  Association;  George  F,  Zook,  American 
Council  on  Education,  and  James  Rowland  Angell,  President  Emeritus 
of  Yale  University,  participate  in  a  discussion  on  the  NBC  Inter- 
American  University  of  the  Air  post-war  planning  series,  "For  This 
We  Fight",  on  Saturday,  August  8  (NBC  7:00  P.M. ,  EWT). 

XXXXXXXX 


-  7  - 


r  i'  C' 


8/3/43 


HOUSE  ACTION  TO  ABOLISH  OWI  PLANNED  BY  REP.  BARRY 


That  the  Office  of  War  Information  is  not  through  with 
Its  troubles  on  the  Hill  was  apparent  when  Representative  Barry 
(  D)  ,  of  New  York,  declared  that  he  was  framing  a  bill  to^^e  intro¬ 
duced  when  Congress  reconvenes  next  month  to  abolish  the  OWI  and 
to  transfer  its  activities  to  the  State  Department. 

Recent  ^Irre sponsible  utterances'*  of  the  OWI  regarding 
the  Italian  King  and  Marshal  Badogllo,  Mr,  Barry  asserted  in  a 
statement  ”might  very  well  have  caused  the  loss  of  many  thousands 
of  American  lives,  ” 

^The  staff  of  OWI  appears  to  be  filled  with  fellow  travel¬ 
ers  or  Communists  who  are  more  Interested  in  propagandizing  their 
own  doctrines  than  in  winning  the  war”,  Mr,  Barry  said,  ”They  are 
causing  consternation  and  confusion  in  the  occupied  countries, ” 

XXXXXXXX 


ONLY  HE  CAN  AFFORD  FREE  MUSIC,  PETRILLO  TOLD 


Mr.  Petrlllo‘8  free  orchestra  concert  plan  is  given  quite 
a  going  over  in  an  editorial  in  the  Washington  Star; 

”By  waving  his  magic  wand.  President  James  C.  Petrlllo  of 
the  American  Federation  of  Musicians  seems  to  be  able  to  stop  or 
start  almost  anything  he  wants  to  stop  or  start  in  the  field  of 
music.  But  he  has  set  many  people  to  figuring  over  how  he  proposes 
to  carry  out  his  plan  of  providing  some  570  free  concerts  by  the 
Nation's  leading  orchestras  for  the  smaller  communities  lacking 
opportunity  to  hear  good  music.  If  he  can  do  it,  finei  But  when 
he  talks  about  donating  $S50,000  -  'double  that  if  found  neces¬ 

sary'  -  for  570  concerts  by  the  orchestras  he  listed,  he  is  not 
talking  the  language  of  the  orchestra  manager  who  has  to  meet  an 
orchestra  payroll, 

"The  operating  expenditure  for  the  New  York  Philharmonic 
for  a  season  of  129  concerts  will  run  close  to  $600,000.  The 
Boston  Symphony,  most  expensive  in  the  country,  runs  higher  by  per¬ 
haps  $100,000,  The  Minneapolis  Orchestra  pays  out  more  than  $250,- 
000  for  about  seventy- two  concerts.  In  recent  years  our  own 
National  Symphony  Orchestra's  operating  expenses  were  about  $175,000 
for  seventy-eight  concerts.  So  it  goes.  Operating  costs  for  thir¬ 
teen  of  the  Nation's  leading  symphony  orchestras  -  Including  all 
but  four  of  those  listed  by  Mr.  Petrillo  for  his  concert  tours  - 
for  1,124  concerts  given  in  one  recent  season  totaled  $3,870,000, 
and  their  operating  deficits  after  sale  of  tickets  and  all  other 
revenue  -  Including  the  recordings,  which  Mr.  Petrillo  has  banned  - 
exceeded  $1,590,000, 


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•  .7  . 


8/3/43 


”At  these  rates,  vhich  are  perhaps  typical,  570  concerts 
by  these  thirteen  orchestras  would  cost  In  the  neighborhood  of 
$2,000,000  -  four  times  what  Mr.  Petrillo  was  ready  to  pay  *lf 
found  necessary*.  This  is  not  looking  a  gift  horse  in  the  mouth, 
for  if  Mr,  Petrillo  can  do  something  to  bring  more  good  music  to 
the  American  people,  he  should  be  thanked  for  it.  But  if  he  does 
it  at  union  scales,  and  under  the  conditions  which  must  be  met  by 
any  other  symphony  orchestra  management,  it  is  going  to  cost  him 
more  than  the  half  million  dollars  he  said  he  was  ready  to  spend. 

For  Mr.  Petrillo  has  made  music  expensive  in  this  country.  To  fur¬ 
nish  it  free  is  a  privilege  that  only  a  czar  can  afford.  *• 

H.  I.  Phillips,  N.  Y.  Sun  has  this  to  say  about  Mr, 

Petrillo* s  presidential  orchestral  tour; 

”A11  out  for  Caesar  Petrillo’ s  Certified  Saxophonists] 

This  way  to  the  gala  band  concert  by  Caesar’s  Cruising  Cornetists] 

"Why  listen  to  the  best  music  in  all  the  world  in  the 
cool  comfort  of  your  own  home  by  merely  sitting  in  a  cozy  chair 

and  twisting  a  knob  when  you  can  fight  your  way  through  a  sweltei>- 

ing  mob  and  hear  a  concert  by  Caesar’s  hand-picked  rausickers  in  the 
flesh  on  the  village  green? 

«*«««# 

’’Why  get  your  melody  over  the  air  without  strain,  effort 
or  suffering  when  you  can  undergo  exertion  and  inconvenience  7  This- 
uh  way-uh,  ladies  and  Kennulmen*  Let  that  little  boy  and  girl 
through*  Step  lively]  " 

Get  ready  for  the  above,  folks*  It*s  coming  soon, 

James  Caesar  Petrillo,  boss  of  the  musicians,  who  has 
put  all  sorts  of  bans  on  music  by  air  and  otherwise  and  deprived 
the  public  of  more  music  than  you  would  think  possible,  now  announces 
that  he  is  going  to  give  the  people  a  great  big  break. 

He  is  going  to  provide  a  traveling  orchestra  of  90  pieces 
to  tour  the  country  and  make  up  for  all  you  have  sacriflciedj 

Gangway]  And  don’t  say  Caesar  isn’t  a  big-hearted  boy] 


A  dispatch  from  Chicago  said  that  Mr,  Petrillo  expected 
to  begin  the  concerts  at  once.  Following  a  similar  one  in  Chicago 
for  the  Middle  West  and  West,  there  will  be  a  meeting  tomorrow 
(Wednesday)  in  New  York  of  Union  officials  from  Eastern  cities 
having  symphony  orchestras.  Saying  that  the  concerts  were  for 
•’civilian  morale",  Mr.  Petrillo  seemed  worried  only  about  trans¬ 
portation  facilities  but  thought  this  problem  could  be  solved 
because  "after  all,  this  was  President  Roosevelt’s  idea", 

XXXXXXXXXX 


9 


X 


8/3/43 


•  •  ^ 

:  :  TRADE  NOTES  : 

•  •  • 

•  • _ • 


A  shortage  of  radio  tubes  is  making  it  necessary  for  manu¬ 
facturers  of  radio  apparatus  in  Denmark  to  curtail  their  1934-44 
production,  reports  the  Commerce  Department.  In  order  that  the 
1,000,000  sets  now  in  use  in  the  country  may  be  maintained,  dealers 
have  been  Instructed  that  tubes  supplied  for  repair  work  are  not  to 
be  used  for  any  other  purpose. 


No  connection,  of  course,  but  the  advertising  slogan  for 
the  0* Sullivan  Rubber  Company,  who  will  sponsor  Former  OPA  Chief 
Leon  Henderson  in  his  weekly  news  commentaries,  which  begin  Satur¬ 
day,  August  14,  at  6;45  P.M,,  EWT,  is  "America’s  No,  1  Heel",  Leon 
will  start  off  with  more  than  seventy  stations  on  the  Blue, 


The  case  growing  out  of  a  complaint  issued  by  the  Federal 
Trade  Commission  against  Davega  City  Radio,  Inc.,  76  Ninth  Ave,, 

New  York,  has  been  ordered  closed  by  the  Commission. 

The  complaint  alleged  that  the  respondent  in  its  advertis¬ 
ing  material  concerning  so-called  special  prices  of  radios  sold  by 
it  carried  in  smaller  and  less  prominent  type  the  fact  that  addi¬ 
tional  charges  were  made  for  essential  parts  of  the  products.  The 
respondent  having  discontinued  the  practice,  the  Commission  has 
ordered  that  the  case  growing  out  of  the  complaint  be  closed  without 
prejudice  to  the  right  of  the  Commission,  should  future  facts  so 
warrant,  to  reopen  it  and  resume  trial  thereof  in  accordance  with 
its  regular  procedure. 


Asked  about  the  Western  Union-Postal  Telegraph  merger 
proceedings,  Chairman  James  L.  Fly  of  the  Federal  Communications 
Commission  said  he  was  hopeful  that  by  Wednesday  of  this  week  the 
firms  involved  would  have  a  complete  plan  ready  to  present  on  the 
problem  of  revision  of  international  traffic. 


That  cupld  was  hovering  over  Col,  Robert  R.  McCormick, 
publisher  of  the  Chicago  Tribune  and  owner  of  Station  WGN,  and  Mrs, 
J.  Fred  Essary,  of  Washington,  D,  C. ,  was  intimated  by  Drew  Pearson 
in  his  broadcast  last  Sunday  night.  Colonel  McCormick  was  married 
to  Annie  Irwin  Adams  in  1915  and  she  died  in  1939, 

Mrs,  Essary  is  the  widow  of  the  former  Washington  cor¬ 
respondent  of  the  Baltimore  Sun  and  former  President  of  the  Gridiron 
Club.  Mrs.  Essary  herself  is  a  newspaper  woman  on  the  staff  of  the 
Washington  Tiraes-Herald  owned  by  Mrs.  Eleanor  Patterson,  a  cousin  of 
Colonel  McCormick.  She  is  popular  socially  and  one  of  the  beauties 
of  the  National  Capital. 


NBC’s  Radio- Recording  Division  closed  during  the  past 
week  two  new  and  two  renewal  contracts  for  syndicated  programs, 

KOMA,  Oklahoma  City,  has  taken  26  programs  of  "Flying  for  Freedom" 
for  the  John  A.  Brown  Co,  department  store;  WKZO,  Kalamazoo,  Mich,, 
has  signed  for  39  programs  of  "The  Name  You  Will  Remember"  for  Sal 
Fayne.  The  advertising  agency  of  Smith,  Taylor  &  Jenkins, Pittsburgh, 
has  renewed  the  series  "Let’s  Take  a  Look  in  Your  Mirror"  for  Dr. 
Ellis  Sales  Co,,  broadcast  over  WAIT,  Chicago,  and  WRC,  Washington. 

xxxxxxxx 

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8/3/43 


NEW  SYLVANIA  PRESIDENT  OLD  TIMER  IN  RADIO 


Walter  E.  Poor,  new  President  of  Sylvanla  Electric  Pro¬ 
ducts,  Inc. ,  has  been  an  enthusiastic  worker  in  the  field  of  light¬ 
ing  and  radio  for  many  years.  Mr.  Poor's  first  contact  with  this 
field  was  made  in  1909.  His  first  contribution  to  the  lighting 
industry  was  a  low-wattage  sign  lamp. 

Upon  the  combination  of  the  Hygrade  Lamp  Co.  and  the 
Sylvanla  Products  Co.  in  1931,  Mr.  Poor  was  appointed  Vice-President 
in  Charge  of  Manufacturing  and  continued  in  this  position  until  his 
appointment  as  Executive  Vice-President  of  Hygrade  Sylvanla  Corp, 
in  December,  1941,  He  has  served  on  the  Executive  Committee  of  the 
company  and  has  been  a  member  of  the  Board  of  Directors  for  many 
years. 


Mr.  Poor  succeeds  B,  0.  Ersklne,  who  was  elected  Chairman 
of  the  Board, 

xxxxxxxxx 

WJZ  MAKES  NEW  SURVEY  OF  LISTENING  HABITS 

A  detailed  study  of  listening  habits,  by  Crossley,  in  the 
area  covered  by  major  New  York  radio  stations  was  completed  last 
week  and  results  released  by  John  McNeil,  Manager  of  Station  WJZ, 

Outstanding  for  intensity  and  scope,  the  "WJZ  Multiple 
Market  Study"  measured  the  dialing  habits  of  listeners  to  all  sta¬ 
tions  in  cities  of  75,000  population  and  over  within  the  1/2  mv/m 
contour  of  WJZ,  Cities  in  New  York,  New  Jersey,  Pennsylvania, 
Connecticut,  and  Delaware  came  under  the  Crossley  scrutiny,  A  total 
of  68,226  calls  were  made  in  Metropolitan  New  York,  Philadelphia, 
Allentown,  Reading,  Scranton,  Wilkes  Barre,  Camden,  Trenton,  Bridge¬ 
port,  New  Haven  and  Wilmington, 

The  purpose  of  the  survey  was  to  get  a  much-needed  compare 
ison  of  the  listening  habits  in  Metropolitan  New  York  with  those  of 
the  other  millions  of  people  who  live  outside  of  New  York,  but  still 
within  the  primary  areas  of  the  leading  New  York  stations.  Because 
of  the  diminishing  signals  of  New  York's  score  of  independents  and 
the  widely  varying  degrees  of  signal  strength  thrown  by  the  50,000 
Wat  stations  in  the  outside  area,  time-buyers  have  found  that  the 
listening  outside  of  New  York  cannot  be  compared  with  that  in  the 
Metropolitan  Area, 

According  to  the  "Multiple  Market  Study",  WJZ  was  reveal¬ 
ed  as  the  dominant  New  York  station  in  seven  out  of  the  ten  cities 
surveyed.  No  figures  are  being  released,  however,  on  WJZ's  standing 
with  the  local  stations  in  the  cities  surveyed,  as  the  intent  of  the 
survey  was  not  to  pose  WJZ  as  a  competitor  of  the  stations  in  those 
particular  cities, 

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Heinl  Radio  Business  Letter 


2400  CALIFORNIA  STREET 


WASHINGTON,  D.  C. 


Run 

/Vfjy 


INDEX  TO  ISSUE  OF  AUGUST  6,  1943. 


WRC  On  80th  Birthday  Tells  How  It  Helped  Make  History 

Calls  Goodwin  Watson  et  al  “Three  Patriotic  Citizens” 

Mlnderraan,  New  FCC  Publicity  Man . 

New  Instructions  To  Radio  Retailers  On  Assembled  Sets 

I  Edward  Klauber,  CBS  Chairman,  Retires . 

jl  Noble  Associates  In  Blue  Transfer  Under  FCC  Scrutiny. 

.  New  York  FCC  Hearings  Prove  Good  Sideshow . 

j  Radio  Becomes  "Voice  Of  New  York”  In  Harlem  Riots..., 
,1  Officials  On  Carpet  For  Closing  Postal  Offices . 

li  Trade  Notes . 


.1 

.4 

.5 

.  6 

.7 

.8 

.9 

10 

10 

11 


1- 

i' 


No, 


1551 


WRC  ON  20TH  BIRTHDAY  TELLS  HOW  IT  HELPED  MAKE  HISTORY 


Perhaps  no  broadcasting  station  in  the  country  had  a  big¬ 
ger  story  to  tell  than  WRC,  whose  slogan  is  ’’First  in  Washington", 
on  its  20th  birthday  this  week.  Furthermore,  not  to  be  outdone  by 
the  White  House,  "Official  Spokesman",  "D.  C,  Speaker"  of  the 
Associated  Press,  and  0WI*s  late  "John  Durfee",  WRC  came  to  life  and 
told  its  own  story. 

Also  present  to  reminisce  on  the  gala  occasion  were  Fred 
Guthrie,  now  District  Manager  of  R.  C.A,  Communications,  who  first 
directed  WRC,  and  Carleton  D.  Smith,  well-known  presidential 
announcer,  the  present  General  Manager. 

The  main  broadcast  "When  Hearts  Are  Young"  was  followed 
later  in  the  evening  by  "WRC  in  the  Service",  participated  in  by 
those  in  the  Capital  now  in  uniform  who  had  formerly  worked  in  the 
station  and  greetings  to  "those  away  on  orders",  such  as  Lieut, 

A.  E.  Johnson,  U.S.N.,  former  Chief  Engineer  of  WRC  in  Washington, 

"In  1924  we  presented  the  very  first  political  commenta¬ 
tor  ever  to  broadcast",  said  the  voice  of  ’>TRC,  "Frederick  William 
Wilem  the  noted  newspaper  correspondent.  That  year  WRC  was  Joined 
by  direct  wire  for  the  first  time  with  Station  WJZ  in  New  York  to 
broadcast  a  ringside  description  of  the  Dempsey- Firpo  fight.  Early 
In  1925,  when  people  were  buying  all-electric  radio  sets,  WRC 
originated  for  the  network  the  very  first  broadcast  of  an  Inaugural 
ceremony,  that  of  President  Coolidge. 

"On  that  memorable  day",  WRC  said:  "We  are  at  the  U. S. 
Capitol  Building  in  Washington,  D,  C.  ,  to  bring  you  by  radio  -  for 
the  first  time  in  history  -  an  eye-witness  description  of  the 
Inauguration  of  a  President  of  the  United  States.  .  .  We  are  using 
two  microphones*  This  broadcast  is  being  sent  to  all  sections  of 
the  country  from  the  steps  of  the  Capitol. " 

Describing  what  was  one  of  the  first  eye-witness  broad¬ 
casts  of  a  great  news  event  -  the  arrival  of  Charles  A.  Lindbergh 
in  Washington  after  his  flight  to  Paris,  the  voice  of  WRC  said; 

"Graham  MacNaraee  told  of  Lindbergh’s  landing  at  the  Navy 
lard.  Milton  Cross,  watching  the  spectacle  from  the  Capitol  Dome, 
John  Daniel  at  the  Treasury  described  the  parade  as  it  came  down 
Pennsylvania  Avenue,  and  Phil  Carlin  was  at  the  top  of  the  Washing¬ 
ton  Monument,  the  first  time  anybody  ever  broadcast  from  the  Capitol 
Dome  or  the  top  of  the  Monument," 

"Remember  our  1933  broadcast  of  President  Roosevelt* s 
first  Inauguration  and  Parade:  That  was  the  most  involved  program 


1 


i- 


8/6/43 


j.we'd  ever  had.  .  .  a  seven-hour  broadcast  .  .  ,  and  we  used  five 
t'short-wave  transmitters  to  send  the  program  overseas”,  continued 
-  the  voice  of  WRC, 

"And  -  in  1933  -  we  also  gave  you  the  first  broadcast  of 
the  opening  of  Congress  .  .  .  the  first  broadcast  from  the  floor 
of  the  House  of  Representatives  ,  .  .  President  Roosevelt's  first 
^Fireside  Chat*.” 

”1941  ->  WRC  broadcast  the  first  address  by  a  wartime 
British  Prime  Minister  to  the  Congress  of  the  United  States  -  and 
the  first  declaration  of  war  to  be  broadcast  by  an  American  Presi- 
t  dent*  ” 

"After  we  set  up  in  our  first  new  home,  lots  of  things 
j;  happened",  Mr.  Guthrie  said,  taking  over  the  story  of  WRC.  "That 
was  in  the  Riggs  Bank  Building  at  14th  and  Park  Road.  " 

"And  everybody  said  it  was  a  wonderful  location  -  because 
it  was  so  far  out  in  the  country,'  WRC  interjected. 

"We  had  only  one  studio  -  but  that  was  the  very  last 
:r,|  word  .  .  .  our  transmitter  was  right  in  the  same  building  and  our 
ip  towers  right  up  on  the  roof",  Mr.  Guthrie  continued. 

"And  we  had  a  staff  of  eight  people  -  including  the 
porter",  WRC  again  interrupted  to  say. 

"WRC  shared  time  with  WCAP",  said  Mr.  G-uthrie.  You  see 
the  first  year  we  were  on  the  air,  we  didn't  have  what  might  be 
called  regular  hours.  Did  a  lot  of  switching  around,  " 

WRC  said;  "But  tiien  I  got  a  little  tired  of  never  know- 
^  ing  when  I  was  to  work  and  when  I'd  have  some  time  off,  so  the  next 
P  year  we  got  on  a  regular  schedule  of  Monday,  Wednesday  and  Friday 
afternoons  and  Tuesday,  Thursday  and  Saturday  evenings.  " 

f  "I  remember  one  night,  though",  Mr.  Guthrie  went  on  to 

say.  "One  of  us  signed  off  late  -  and  one  of  us  signed  on  earlyl 
!  So  for  five  minutes,  Wasnington  heard  two  different  programs  coming 

!;l  in  together  on  the  same  frequency.  *  *  *  * 

"Twenty  years  ago  tonight  when  we  went  on  the  air  for 
the  first  time,  we  had  a  three  hour  program  planned.  But  a  few 
minutes  after  we  were  on  the  air  I  got  word  that  I  was  wanted  in 
the  control  room  right  away.  The  first  speaker  was  talking  and 
we  could  hardly  hear  him.  His  voice  was  terrible!  Fuzzy  and 
distorted*  Absolutely  unnatural!  The  engineers  wer^  blaming  the 
trouble  on  the  new-fangled  microphone  -  and  I  didn't  know  what  to 
think.  One  after  another  those  speakers  were  worse  and  worse  and 
we  grew  sadder  and  sadder" 

"Our  inaugural  orograra  -  and  we  thought  it  was  ruined!  said 

,  WRC. 


-  2 


8/6/43 


mjl  “Well,  sir  -  anotiier  guest  began  to  talk”,  Mr.  Guthrie 

r.  went  on  to  say.  '^is  voice  was  perfect.  Clear  as  a  bell  -  natural 
[  as  life.  Truth  of  the  matter  was  -  we  had  got  confused  as  to  which 
was  the  right  and  wrong  side  of  the  mike  -  and  half  the  speakers 
i"  had  talked  into  the  back  of  it*  ” 

"This  is  a  postscript  to  the  story  of  Wrc  -  a  postscript 
about  today  and  tomorrow”,  Carleton  Snith  said,  when  his  turn  to 
speak  came,  "We  in  the  WRC  family,  like  to  think  of  our  station  as 
a  living  entity  -  as  we  heard  tonight  -  not  Just  three  initials, 
three  call  letters,  not  Just  a  spot  on  your  radio  dial,  but  an 
entity  that  lives  -  a  voice  that* is  welcome  in  your  home  -  a  voice 
that  brings  fine  things  in  music,  drama,  comedy,  news,  education  and 
everything  else  that  a  voice  can  express.  Tonight  WRC  wants  to 
express  appreciation  to  the  legion  of  Washingtonians  whose  loyalty 
and  friendship  have  helped  make  this  20th  anniversary  such  a  proud 
one.  Your  support  has  given  us  real  cause  for  celebration.  And 
while  we  observe  our  20th  birthday,  let  us  remember  that  our  Ameri¬ 
can  system  of  providing  universal  broadcasting  service  without  cost 
to  the  listener  rests  on  the  support  of  our  advertisers.  Our 
appreciation  to  them  and  to  the  local  and  network  sponsors  whose 
broadcasts  furnish  that  financial  support. 

"Many  people  keep  the  voice  of  WRC  alive.  From  a  staff 
of  eight,  20  years  ago  we  have  grown  to  79  today.  We’re  very  proud 
to  be  able  to  say  that  25  members  of  our  WRC  family  have  been  with 
I'  U3  for  more  than  10  years,-  29  are  serving  in  the  armed  forces, 
i)  During  these  20  years  WRC  has  developed  and  trained  many  fine 
i*’  entertainers  and  personalities  -  some  have  gone  on  to  other  fields  - 
opera,  the  concert  stage  and  the  movies. 

"Our  staff  is  responsible  for  more  than  four  thousand 
programs  transmitted  from  Washington  each  year  to  the  NBC  network 
and  the  world, 

"Today  as  we  begin  our  third  decade  of  public  service,  we 
I  pledge  ourselves  to  offer  only  the  best  in  programs.  When  victory 
'  and  peace  come  again,  a  bright  new  world  of  radio  will  begin. 

There  will  be  improved  transmission  and  better  reception  .  .  .  There 
will  be  television  and  other  new  marvels  of  radio  magic, 

"All  these  will  be  part  of  our  service  to  you,  our  listen¬ 
ers.  But  they  must  wait  until  peace  and  victory.  Meantime  we 
renew  our  pledge  to  bend  every  effort  toward  accurate  information 
and  fine  entertainment. " 

XXXXXXXXXX 

A  68-page  primer  intended  to  help  the  beginning  understand 
the  fundamentals  of  radio  has  been  produced  by  the  General  Electric 
-  Electronics  Department,  It  is  the  outgrowth  of  a  training  course 
in  radio  prepared  for  people  employed  in  non- technical  positions  in 
'  the  ra.dio  Industry. 

Copies  may  be  obtained  from  the  Advertising  Division, 
Electronics  Department,  General  Electric  Co.,  Brldgeoort,  Conn,,  for 
25  cents  in  coin. 


XXXXXXXX 

-  3  - 


,  -  r  I 


0-/  r 


ir*« 


8/6/43 


CALLS  GOODWIN  WATSON  ET  AL  '’THREE  PATRIOTIC  CITIZENS” 


In  his  speech  to  the  Democratic  Woman's  Club  in  Washington 
last  week,  FCC  Commissioner  C.  J,  Durr  had  this  to  say  about  the 
now  very  famous  Goodwin  Watson  case; 

’’The  stonecutter  had  hardly  finished  carving  on  the  base 
of  our  new  memorial  to  Thomas  Jefferson  his  words,  ®I  have  sworn 
upon  the  altar  of  God  eternal  hostility  aga.inst  every  form  of 
tyranny  over  the  mind  of  man*,  when  Goodwin  Watson,  Chief  Analyst  of 
the  Foreign  Broadcast  Intelligence  Service  of  the  Federal  Coramunica- 
'  tlons  Commission,  William  E.  Dodd,  Jr.,  of  the  same  organization, 
and  Dr.  Robert  Morss  Lovett,  Secretary  of  the  Virgin  Islands,  three 
patriotic  citizens  of  the  United  States  whose  ancestors  had  fought 
in  the  war  which  made  our  Bill  of  Rights  possible  were,  by  legisla~ 
tive  enacement,  solemnly  declared  to  be  ’unfit'  to  serve  their  gov~ 
ernment  because  of  their  beliefs, 

"No  charge  was  made  that  they  were  lacking  in  competence 
to  fill  the  Jobs  they  hold  or  that  they  have  failed  to  perform  their 
duties  loyally  and  efficiently.  They  were  not  accused  of  violating 
any  law,  of  advocating  any  change  by  force  in  our  Constitutional 
form  of  government,  or  of  using  their  positions  for  political  pur¬ 
poses  or  to  further  their  own  ideas  or  objectives.  It  was  not  even 
suggested  that  they  had  given  less  than  whole-hearted  support  to  the 
Government  in  the  prosecution  of  the  war.  On  the  contrary,  the 
I  evidence  was  uncontroverted  that  they  had  foreseen  and  warned  against 
the  menace  of  Nazism  and  Fascism  when  most  of  us  were  complacent  in 
our  belief  that  what  happened  in  Europe  and  Asia  didn't  concern  us. 
Much  was  said  about  their  'affiliation'  with  so-called  'Communist- 
front'  organizations,  but  their  real  crime  consisted  of  having  ex¬ 
pressed  beliefs  with  which  their  accusers  and  Judges  did  not  agree. 
These  beliefs  were  not  expressed  in  the  performance  of  their  official 
duties  or  even  while  they  were  employed  by  the  Government,  but  at  a 
time  when  they  were  private  citizens.  Because  of  their  beliefs, 
Messrs.  Watson,  Dodd,  and  Lovett  were  not  deemed  'right-minded 
people'.  So  they  were  declared  'unfit'  to  serve  their  Government j 
not  merely  unfit  to  hold  their  particular  Jobe  or  to  hold  those  Jobs 
during  this  or  the  next  fiscal  year  or  during  the  war,  but  unfit  for 
all  time  to  serve  the  Government  in  any  capacity,  except  to  serve 
on  Juries  and  in  the  armed  forces  -  small  consolation  for  men  past 
the  age  of  military  service,  as  two  of  them  are.  As  'dangersou'  as 
I  these  men  are  alleged  to  be,  they  are  permitted  to  continue  in  their 
present  Jobs  until  next  November  15th,  at  which  time  their  compensa- 
[  tlon  ends  unless  they  are  reappointed  by  the  President  and  confirmed 
[;  by  the  Senate, 

"As  paradoxical  as  this  concession  is,  it  is  to  the  etern- 
f  al  credit  of  the  Senate  that  it  stood  firm  in  its  position  that  the 
legislation  was  unconstitutional  and  violated  fundamental  American 
=  rights,  and  accepted  the  concession  as  an  unsatisfactory  compromise 
only  because  a  vital  appropriations  bill  was  at  stake  and  important 
governmental  functions  would  soon  have  had  to  be  suspended  for  lack 
;  of  funds. 


8/6/43 


"However  disturbing  this  incident  may  be,  I  think  we  can 
take  a  great  deal  of  comfort  from  the  progress  we  have  made  since  the 
last  World  War,  For  example,  we  haven’t  today  many  cases  like  those 
cited  by  Zechariah  Chafee,  Jr.,  in  his  excellent  book,  ’Free  Speech 
in  the  United  States’.  We  haven’t  yet  had  a  case  like  that  of  Rose 
Pastor  Stokes,  who  was  sentenced  to  ten  years  in  Jail  for  telling  an 
audience  of  women:  ’I  am  for  the  people  and  the  Government  is  for 
the  profiteers,  '  Or  like  that  of  the  woman  who  said  with  reference 
to  the  President,  'I  wish  Wilson  was  in  hell’,  and  was  held  to  be 
guilty  of  a  threat  to  kill  the  President,  because,  according  to  the 
reasoning  of  the  Court,  how  could  he  be  in  hell  unless  he  were  dead, 

.  "Thanks  to  a  popular  revulsion  against  the  wave  of  hysteria 

and  Intolerance  which  came  with  and  followed  the  last  war,  we  are 
better  prepared  today  to  accept  the  attitude  taken  by  President 
Roosevelt,  who  said  shortly  after  we  entered  this  war: 

"’We  will  not  under  any  threat,  or  in  the  face  of 
danger,  surrender  the  guarantees  of  liberty  our  fore¬ 
fathers  framed  for  us  in  our  Bill  of  Rights,  We  hold  with 
all  the  passion  of  our  hearts  and  minds  to  these  commit¬ 
ments  of  the  human  spirit, ’ 

"We  also  owe  much  to  the  firm  stand  taken  by  the  United 
States  Supreme  Court  which,  in  the  Jehovah’s  Witnesses  and  other 
cases,  has  carried  forward  into  recognized  law  some  of  the  philos¬ 
ophy  expressed  in  the  dissenting  opinions  of  Justices  Brandels  and 
Holmes. 

"Unfortunately,  even  though  our  Intentions  be  the  best,  it 
is  not  always  so  easy  to  determine  on  which  side  of  an  issue  the 
right  of  free  speech  lies.  Firm  believers  in  freedom  of  speech  may 
easily  find  themselves  in  direct  disagreement  as  to  how  its  ends  may 
best  be  served.  The  words  of  the  Constitution  have  a  simple  sound, 
but  when  we  apply  these  simple  general  principles  to  specific  cases, 
difficulties  may  easily  arise, " 

XXXXXXXXXX 


MINDERMAN,  NEW  FCC  PUBLICITY  MAN 


The  Federal  Communications  Commission  has  appointed  Earl 
Mlnderman  as  Director  of  Information.  For  the  past  year  Mr,  Minder- 
man  has  been  Director  of  the  Division  of  Research  and  Information 
of  the  Bureau  of  Motion  Pictures,  Office  of  War  Information,  Pre¬ 
viously,  he  had  been  National  Director  of  Information  of  the  Work 
Projects  Administration  here  and  State  Information  Director  of  the 
same  organization  in  Ohio,  Before  entering  Government  servl  ce,  he 
had  been  on  the  editorial  staff  of  the  Columbus  (Ohio)  Citizen  and 
^he  Toledo  (Ohio)  News- Bee. 

XXXXXXXX 


-  5 


8/6/43 


NEW  INSTRUCTIONS  TO  RADIO  RETAILERS  ON  ASSEMBLED  SETS 


Retailers  were  cautioned  Thursday  by  the  Office  of  Price 
Administration  against  selling  new  ”asserabled"  radios  and  phono¬ 
graphs  without  tags  which  must  be  attached  by  the  assembler  to  indi- 
„  cate  the  officially-sanctioned  retail  ceiling  price  of  each  item. 

Because  the  manufacture  of  complete  radio  receiving  sets 
and  phonographs  is  prohibited  by  wartime  conditions,  new  sets  now 
appearing  on  the  market  are  assemblies  of  parts  likely  to  have  been 
gathered  from  a  variety  of  different  sources.  Assemblers,  who  have 
been  reporting  their  new  prices  to  OPA  for  approval  now  have  begun 
shipments  to  the  trade. 

If  the  retailer  receives  any  "assembled"  radios  or  phono¬ 
graphs,  shipped  by  the  assembler  after  July  25,  1943,  and  these  sets 
have  not  been  tagged  and  labeled  properly  prior  to  shipment,  he  must 
withhold  these  from  sale  until  he  has  contacted  his  District  OPA 
office  and  the  assembler;  and  until  these  "assembled"  sets  have  been 
properly  tagged  and  labeled. 

Maximum  Price  Regulation  430  (Assembled  radios  and  Phono¬ 
graphs)  makes  it  obligatory  for  assemblers  of  new  radios  and  phono¬ 
graphs  to  attach  a  tage  to  each  item  sold,  stating  (l)  the  retail 
ceiling  price  of  each  set,  (2)  the  assembler’s  stock  number  for 
that  particular  set,  (3)  a  notice  that  the  set  has  been  assembled 
and  priced  in  accordance  with  MPR  430,  and  (4)  a  statement  that  the 
set  is  guaranteed  for  a  minimum  of  90  days  (unless  a  special  price 
;  has  been  authorized  by  OPA  under  Section  12,  in  which  case  no 

guarantee  is  required,  )  This  Price  Regulation  430  became  effective 
July  26,  1943. 

j 

I  Secondarily,  the  regulation  requires  assemblers  to  affix 

on  the  inside  of  every  cabinet  of  an  assembled  radio  receiving  set 
or  pnonograph  a  label  clearly  showing  (1)  the  circuit  diagram  of  the 
channls,  including  the  location  of  tube  sockets  properly  marked 
with  the  corresponding  tube  number,  (2)  the  original  manufacturer’s 
name  and  model  number  of  the  chassis  and  phonograph  (3)  the  assembl¬ 
er’s  name  and  address,  and  (4)  his  stock  number  for  the  item. 

Retailers  also  were  reminded  by  OPA  that,  regardless  of  any 
I  former  practice,  every  person  selling  an  assembled  radio  receiving 
set  or  phonograph  in  the  course  of  business  is  required  to  furnish 
the  purchaser  with  a  sales  slip,  invoice,  or  some  similar  evidence 
of  purchase,  showing  the  assembler’s  stock  number,  date  of  sale, 

|i  price  charged,  a  statement  showing  whether  the  set  is  or  is  not 
guaranteed,  and  the  name  and  address  of  the  purchaser, 
li 

xxxxxxxxx 


-  6  - 


II 


A  ;• 


8/6/43 


EDWARD  KLAUBER,  CBS  CHAIRIJIAN,  RETIRES 


There  was  a  solemn  moment  when  the  Board  of  Directors  of 
j  the  Columbia  Broadcasting  System,  accepted  the  resignation  of  Edward 
Klauber  as  a  Director  and  as  Chairman  of  the  Executive  Committee, 
last  Wednesday.  Mr.  Klauber,  who  had  made  a  big  name  for  himself  in 
I  the  newspaper  field  as  an  editor  of  the  New  York  Times  and  even  a 
bigger  success  in  radio,  was  forced  to  retire  on  accmnt  of  ill 
i  health. 


”I  know  you  will  Join  with  me  in  a  feeling  of  profound 
regret  that  Mr.  Klauber  cannot  continue  his  work  with  us’’,  William  S. 
Paley,  head  of  the  Columbia  Broadcasting  System  said  addressing  the 
Directors,  "and  in  a  feeling  of  deep  appreciation  for  his  many 
years  of  service  and  his  outstanding  contribution  both  to  the  suc¬ 
cess  of  the  company  and  to  the  development  of  the  rs-dio  broadcast¬ 
ing  industry. " 

In  a  letter  accompanying  his  resignation,  Mr.  Klauber  ask¬ 
ed  that  the  following  message,  from  him,  be  transmitted  to  the 
organization: 

"Because  of  my  ill  health  the  Board  of  Directors  has 
accepted  my  resignation  from  all  official  connection  with  CBS,  and 
I  have  been  allowed  to  retire, 

"It  is  a  matter  of  real  regret  that  I  cannot  say  a  person¬ 
al  good-bye  to  all  of  you  with  whom  I  was  associated  for  so  many 
years. 

"Since  I  am  resting  in  the  country  I  take  this  only  avail¬ 
able  means  of  saying  ’so  long  and  good  luck’,  and  I  do  hope  to  see 
very  many  of  you  individually  when  I  come  back  to  New  York. " 

The  CBS  Board  declared  a  cash  dividend  of  thirty  cents  per 
share  on  the  present  Class  A  and  Class  B  stock  of  $2.50  par  value. 

The  dividend  is  payable  on  September  3,  1943,  to  stockholders  of 
record  at  the  close  of  business  on  August  20,  1943, 

XXXXXXXX 

PETRILLO  SPRINGS  HYDE  PARK  DEBUT  AS  WLB  BEGINS  PROBE 

The  news  came  almost  at  the  same  time  that  James  C, 

^^etrillo,  President  of  the  American  Federation  of  Musicians,  hoped 
to  launch  his  series  of  free  concerts  in  smaller  communities  at  Hyde 
Park,  New  York,  summer  home  of  President  Roosevelt,  and  that  the  War 
^abor  Board  had  named  a  three  man  panel  to  hold  hearings  on  the 
Petrillo  broadcast  record  ban. 

It  was  said  further  that  if  the  Hyde  Park  plan  worked  out, 
the  President,  whose  idea  the  small  community  concerts  is  said  to  be, 
would  be  invited  as  the  No,  1  guest  of  honor.  The  series  of  570  con¬ 
certs  will  begin  within  a  couple  of  weeks  and  the  union  expects  to 
Spend  at  least  a  half  a  million  dollars  putting  them  on. 


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8/6/43 


The  War  Labor  Board  denied  a  request  of  the  7  transcrip¬ 
tion  manufacturing  companies  that  the  AFM  be  ordered  to  call  off 
its  strike  pending  the  determination  of  the  case. 


The  Chairman  of  the  panel  appointed  by  WLB  is  Arthur  Meyer, 
head  of  the  New  York  State  Mediation  Board  and  Vice  Chairroan  of  the 
)|  Regional  War  Labor  Board,  Other  members  are  Henry  S.  Woodbridge  of 
ij  the  American  Optical  Company,  representing  industry,  and  Max  Zaritsky, 
}■  President  of  the  United  Hatter,  Cap  and  Millinery  Workers  (AFL),  re¬ 
presenting  labor. 


This  particular  case  involves  only  the  making  of  large- 
1  size  broadcasting  disks  and  not  the  standard- si zed  records  for  home 
i;  and  Juke-box  use,  although  Petrillo  ordered  his  musicians  to  stop 
t;  making  all  types  of  recordings. 

There  was  a  meeting  in  New  York  of  the  executives  of  the 
t,  transcription  manufacturing  companies  and  three  networks  to  consider 
f  a  new  proposal  to  settle  the  strike,  the  general  idea  of  which,  it 
was  reported,  called  for  payment  by  the  radio  stations  of  a  fee  not 
|i  only  to  the  musicians’  union,  aS  demanded  by  Mr.  Petrillo,  but  also 
|i  to  the  record  companies.  Mr.  Petrillo  was  not  available  for  comment 
I  hut  several  days  ago  he  acknowledged  that  he  was  having  continuing 
sessions  with  Decca  officials  who  were4raong  those  attending  the 
P  Thursday  New  York  meeting, 

'  xxxxxxxxx 


NOBLE  ASSOCIATES  IN  BLUE  TRANSFER  Ul^DER  FCC  SCRUTINY 


>  In  authorizing  the  transfer  of  ownership  of  the  Blue  Net¬ 

work  stations  to  E,  J.  Noble,  the  Federal  Communications  Commission 
will  go  over  those  backhim  him  in  the  transactions  very  carefully, 

I;  This  was  indicated  by  Chairman  James  L.  Fly,  He  said  that  Mr,  Noble 
has  taken  full  responsibility  for  the  purchase  and  that  there  is 
11  some  uncertainty  as  to  who  will  come  in  with  him.  Asked  if  James  H, 

Ii  McCraw,  of  McG-r9.w-Hill,  had  been  dropoed  because  he  was  a  publisher, 

'  Mr,  Fly  saidt 

.  ’’As  a  matter  of  fact  I  didn’t  know  that  Mr,  McCraw  had 

\  been  dropped  from  the  picture,  I  had  no  part  in  the  negotiations,  ” 

I  The  Chairman  was  asked  how  the  entrance  of  McGraw,  a 

publisher,  into  the  network  field  would  be  regarded  and  he  replied: 

,  "I  don’t  want  to  meet  that  question  until  we  come  to  it, 

f 

’’Nor  do  I  want  to  be  taken  as  expressing  any  approval  of 
^  this  particular  sale.  That  is  something  that  will  come  before  the 
'  Commission,  and  neither  the  Commission  nor  I  have  had  any  opportunity 
*  to  pass  upon  the  merits  of  this  sale.  That  will  be  considered  in  due 
course.  I  do  want  to  say,  however,  that  the  mere  fact  that  a  sale 
has  been  made  and  that  RCA  has  moved  to  effect  the  disposition  of  the 
i  Blue  is,  I  think,  a  constructive  thing  and  it  does  represent  an 
!  example  of  industry  coooeration  with  Government. " 

XXXXXXXXX 


8/6/43 


NEW  YORK  FCC  HEARINGS  PROVE  GOOD  SIDESHOW 


t  The  House  sub- committee  hearings  in  New  York  held  the 

newspaper  head-lines  all  week  which  is  quite  a  feat  in  wartime. 
Apparently  the  inquisitors,  Representatives  Edward  Hart  ( D) ,  of  New 
Jersey,  and  Richard  Wlgglesworth  ( R) ,  of  Massachusetts,  were  occupied 
I  in  New  York  longer  than  they  had  expected  to  be  and  as  a  result  it 
j  was  not  known  at  this  writing  whether  or  not  the  main  hearings  sch- 

1  eduled  for  Monday,  August  9,  would  be  resumed  at  that  time  or  would 

have  to  be  postponed. 

James  A.  Guest,  head  of  the  Federal  Communication  Coramis- 
I  Sion's  New  York  office,  testified  that  the  FCC  had  no  power  to 
"throw  anybody  off  the  air"  but  that  action  taken  under  his  super¬ 
vision  had  been  followed  by  the  disappearance  of  an  announcer  from 
i  WHOM,  a  foreign  language  station, 

Mr,  Garey  quoted  Elmer  Davis,  head  of  the  Office  of  War 
Information,  as  saying  the  test  of  a  Communist  was  "his  behavior 
I  between  August  22,  1939,  when  Germany  and  Russia  signed  their  non- 

i  aggression  treaty,  and  June  22,  1941,  when  Germany  attacked  Russia. " 

He  asked  Mr,  Guest  if  he  was  in  accord  with  that  statement  and  Mr, 

I  Guest  replied  affirmatively. 

Eugene  L.  Garey,  counsel  for  the  Committee,  produced  a 
letter  in  which  the  Office  of  Censorship  stated  its  refusal  to  Join 
with  the  FCC  and  the  Office  of  War  Information  in  the  circulation  of 
three  questionnaires.  The  censorship  body  noted  the  growing  antip¬ 
athy  to  questionnaires  in  general,  and  declared  it  felt  that  inforraa- 
I  tion  sou^t  in  the  documents  would  be  unnecessary  to  an  adequate 
:  censorship.  Further,  the  Bureau  said  that  it  felt  some  of  this  In¬ 
formation  went  beyond  its  proper  scope. 

I  Gene  T,  Dyer,  operator  of  two  foreign- language  broadcast¬ 

ing  stations  in  Chicago,  testified  that  he  had  dismissed  three 
announcers  and  lost  $18,000  worth  of  business  because  he  understood 
:  they  were  "repugnant"  to  the  Federal  Communications  Commission,  and 

'  feared  that  if  he  retained  them  it  would  have  an  adverse  effect  on 
renewal  of  his  license. 

The  stations  are  WGES  and  WSBC.  Dyer  was  told  by  hie 
Washington  representative,  he  said,  that  if  the  two  announcers  were 
not  put  off  the  air  "it  is  possible  that  we  will  be  called  to  account 
on  two  purely  technical  charges.  The  two  charges  will  be  based  on 
i  irregularities  found  in  our  books  and  our  equipment.  " 

f  Committee  Counsel  Eugene  L,  Garey  asked  Dyer  if  there 

actually  was  anything  wrong  with  his  books  and  equipment.  Dyer  re- 
[  plied  the  equipment  was  brand  new  and  the  books  were  in  good  shape, 

I  Joseph  Lang,  General  Manager  of  Station  WHOM,  New  York  City, 

testified  that  one  of  the  reasons  why  he  removed  Elsa  Marla  Troja 
I  as  one  of  his  broadcasters  was  because  of  the  insistence  of  an  offic- 
ial  of  OWI, 

i 

f 


9 


8/6/43 


Mr,  Lang  was  a  witness  for  the  Cox  Congressional  Committee 
which  is  investigating  the  Federal  Communications  Commission,  Early 
In  1942,  Lang  said,  Lee  Falk,  Chief  of  Radio  Foreign  Language  Divi¬ 
sion  of  OWI,  had  on  several  occasions  insisted  that  Miss  Troja  be 
removed  from  Station  WHOM,  Finally  in  June  1942,  Lang  took  her  off 
the  air. 


xxxxxxxx 

RADIO  BECOMES  "VOICE  OF  NEW  YORK"  IN  HARLEM  RIOTS 

The  radio  stations  of  New  York  City,  backed  I'feyor  LaGuardia 
to  the  limit  in  his  effort  to  quell  the  Harlem  riots.  The  Mayor  went 
on  the  air  repeatedly  and  his  talks  were  carried  not  only  by  the  four 
big  network  stations  -  WABC,  WOR,  WJZ  and  WEAF  -  but  every  other 
station  which  had  time  available.  Those  which  couldn't  clear  at  the 
moment  made  recordings  which  were  rebroadcast  immediately  afterwards. 

As  a  result  of  the  good  teamwork  and  cooperation  between 
the  Mayor  and  the  broadcasters,  there  was  high  praise  for  radio  and 
its  value  in  such  an  emergency  was  well  demonstrated.  Westbrook 
Pegler  said  that  entirely  too  much  credit  had  been  given  to  Mayor 
LaGuardia,  A  correct  proportion  would  be  about  ,01  percent  for  the 
Mayor  and  99,09  percent  for  the  New  York  police  who  faced  the  mob. 

If  that  is  true,  then  quite  a  large  percent  of  credit  should  also  go 
to  the  broadcasters  of  New  York  City. 

XXXXXXXX^ 

OFFICIALS  ON  CARPET  FOR  CLOSING  POSTAL  OFFICES 

The  Federal  Communications  Commission  ordered  an  investiga¬ 
tion  into  the  recent  closing  of  Postal  Telegraph  offices  in  connec¬ 
tion  with  the  firm's  proposed  merger  with  Western  Union. 

The  action  followed  a  complaint  filed  by  the  American  Com¬ 
munications  Association  (CIO)  that  such  closures  were  causing  "dis¬ 
continuances,  reductions  and  impairment"  of  telegraph  service. 

FCC  records  indicated  that  approximately  100  Postal  offices 
bad  been  closed,  but  the  union  representatives  contended  the  number 
^as  higher. 

Postal  has  acknowledged  closing  of  several  of  its  branch 
offices,  but  denied  any  violation  of  the  law.  It  contended  the  action 
was  taken  as  an  economy  move,  since  the  company  is  losing  money. 

Both  postal  and  Western  Union  officials  testified  at  recent 
bearings  that  the  closings  had  not  resulted  in  any  impairment  of 
service, 

X  X  X  X  X  X 


10  - 


TRADE  NOTES 


•  •  • 
•  •  • 

*  •  • 
•  •  • 

•  •  • 
•  •  • 


8/6/43 


I^.  L.  G-rant  Hector,  Chief  Engineer  of  the  National  Union 
Radio  Engineering  Company  of  Newark,  New  Jersey,  has  been  appointed 
Production  Consultant  on  miniature  tubes  in  the  Radio  Division  of 
the  War  Production  Board. 


!  Palmer  Hoyt,  Director  of  Domestic  Operations,  yesterday 

announced  that  Leo  C,  Rosten  has  resigned  as  a  Deputy  Directory  of 
I  the  Domestic  Branch  of  the  Office  of  War  Information,  to  resume  his 
:  activities  as  an  author, 

I  ”Mr,  Hoyt  said:  ”Mr,  Rosten  has  been  with  the  Office  of 

War  Information  and  its  predecessor  agencies  since, Pearl  Harbor  and 
has  completed  a  thoroughly  commendable  series  of  information  pro¬ 
jects.  I  am  glad  to  say  that  Mr.  Rosten  has  agreed  to  let  us  call 
I  upon  him  in  the  future  as  a  consultant  of  OWI,  '• 


Among  those  receiving  the  Maritime  Commission  for 
outstanding  production  achievement  was  E..  H..  Scott  Radio  Laboratories 
of  Chicago., 


A  new-type  program  traffic  schedule,  developed  over  a  year* s 
i  time  by  Arthur  Whiteside,  WOR  Production  Manager,  has  been  put  into 
s  operation  at  the  Station  and  has  proved  to  be  a  success,  saving  time, 

I  simplifying  operations  and  cutting  the  possibility  of  errors,  WOR 
I  will  make  this  available  to  any  station  desiring  to  adapt  it  for 
i  its  own  use.  The  new  chart  enables  master  control  technicians,  engi- 
'  neers,  production  men  and  announcers  to  note  almost  instantly  the 
station’s  and  network’s  complete  24-hour  operations. 


The  Zenith  Radio  Corporation  was  the  winner  of  a  citation 
j  and  a  Victory  Award  from  the  Lumbermens  Mutual  Casualty  Company  on 
!  August  2nd.  The  citation  read  ’’For  outstanding  achievement  in  the 
i  field  of  industrial  safety.  This  citation  is  given  in  recognition 
of  a  praiseworthy  record  in  the  prevention  of  accidents,  resulting  in 
the  conservation  of  manpower  while  speeding  production  essential  to 
the  nation’s  war  effort.  ” 


Arthur  Godfrey,  early  morning  monologist  over  WABC,  Colum¬ 
bia’s  New  York  key,  remarked  to  listeners  during  one  of  his  broad¬ 
casts  last  week,  according  to  Variety,  that  if  they  had  any  com¬ 
plaints  about  his  performance  they  could  call  Circle  7-5700  and  ask 
for  Mark  Woods.  ’’He’ll  be  glad  to  hear  it”,  added  Godfrey, 

The  office  of  the  Blue  Network's  president  did  hear  from 
some  of  these  listeners  and  the  answer  was,  ”Who  is  Arthur  Godfrey?” 

XXXXXXXXXX 


f 


11 


y\  -  \:' 


Heinl  Radio  Business  Letter 

2400  CALIFORNIA  STREET  WASHINGTON,  D.  C. 


FCC  Employees  Congress  Fired  To  Fight  Back  In  Court . 1 

Marshall  Field  Appeal  Not  Expected  To  Sway  Petrillo, . 2 

Radio  ResistorExpansion  To  Meet  All  Military  Needs.,.,, . ...4 

Storer  Group  %)ply  For  New  50  KW  Detroit  Outlet . . . 5 

Short-Wave  Overseas  Service  Blacked  Out  By  Sun  Spots . 5 

Fly  And  Cox  Continue  To  Slug  It  Out  Publicly . 6 

U.  S.  Probes  11  More  Named  As  Jap  Radio  Propagandists . 7 

Capital  And  Labor  To  Fight  It  Out  On  Air  And  Screen, . 8 

Trade  Notes . . . 9 

Maritime  Gold  Star  To  Federal  Telephone  And  Radio . 11 

Mutual  Billings  Up  104  P,  C . 11 


No.  1552 


August  10,  1943 


FCC  EMPLOYEES  CONGRESS  FIRED  TO  FIGHT  BACK  IN  COURT 


The  first  definite  action  to  fight  for  their  Jobs  in  the 
courts  was  taken  this  week-end  by  Robert  Lovett,  Secretary  of  the 
Virgin  Islands,  Goodwin  Watson,  Chief  Analyst  of  the  Vb reign  Broad¬ 
cast  Intelligence  Service  of  the  Federal  Communications  Commission 
and  William  E.  Dodd,  Jr,,  of  the  same  service.  Dr.  Lovett  is  on 
leave  of  absence  and  is  expected  to  arrive  in  Washington  today 
(Tuesday,  August  10)  to  outline  plans  for  the  court  test, 

Charles  A.  Horsky,  of  the  Washington  law  firm  of  Covington, 
Burling,  Rubles,  Ache son  and  Shorb  is  handling  the  case.  Expecta¬ 
tion  is  that  Mr,  Horsky  will  seek  in  the  District  of  Columbia  Supiv 
eme  Court  sometime  this  month  a  declaratory  Judgment  holding  the 
act  of  Congress  unconstitutional. 

The  plan  is  to  attack  the  congressional  statute  on  the 
ground  that  it  is  an  unconstitutional  assumption  of  the  power  of 
appointment,  vested  in  the  Chief  Executive  by  the  Nation’s  basic  law. 

Another  contention  is  that  the  statute  violates  the  con¬ 
stitutional  prohibition  against  bills  of  attainder.  But  usurpation 
of  the  appointive  power  is  expected  to  be  the  central  issue  on  which 
a  test  will  be  sought. 

Taking  issue  with  President  Roosevelt  on  the  latter’s 
stand  in  the  case,  Westbrook  Pegler  writes: 

”The  rider  in  an  appropriation  act  by  which  Congress  has 
tried  to  shake  loose  from  the  pay  roll  three  political  house  pets  of 
the  New  Deal  may  be  a  bill  of  attainder,  as  President  Roosevelt  has 
said,  but  if  Congress  has  erred  in  this  matter,  the  motives  of  those 
wno  voted  so  were  purely  patriotic.  This  was  a  protest,  voiced  in 
exasperation  against  the  persistent  sympathy  of  the  New  Deal  for 
Communists  and  Fellow- Travelers,  who  have  burrowed  into  the  very 
walls  of  Government  in  Washington  and  in  the  bureasu  out  through 
the  country, 

"It  was  also  a  general  rebuke  to  the  defiant  impudence  of 
many  men  and  women  who  have  flatly  expressed  or  convincingly  indi¬ 
cated  their  hatred  of  the  economic  system,  meaning  capitalism,  on 
which  the  American  Government  is  based  and  the  only  system  under 
which  those  freedoms  can  exist  which  we  are  supposed  to  be  present¬ 
ing,  with  our  compliments,  to  all  the  other  peoples  of  the  world, 
with  the  notable  exception  of  our  Russian  comrades  in  arms,  who 
have  other  preferences, 

-  1  - 


8/10/43 


*The  Dies  Committee  has  been  blackguarded  and  derided  for 
years  ♦  *  *  *  Nevertheless  Dies  has  put  the  finger  on  many  a  covert 
II  mutineer  on  our  ship  of  state  and  that  fact,  more  than  his  methods, 

”  has  been  the  cause  of  the  uproar  against  him.  Dies  has  accumulated 
an  enormous  file  of  information  on  thousands  of  individuals,  includ¬ 
ing  Nazis,  Fascists  and  bigots  of  one  kind  and  another  but  including 
also  many  friends  and  political  proteges  of  the  New  Deal  who  have 
Identified  themselves  with  Communist  organizations.  In  the  course 
of  his  inquiries  he  has  had  very  little  cooperation  from  the  depart¬ 
ments  and  bureaus  of  the  Government  and,  at  one  stage  of  the  game, 
was  openly  opposed  by  Mrs,  Roosevelt  who  took  it  upon  herself  to 
rebuke  this  committee  of  Congress  by  entertaining  some  of  the  indiv¬ 
iduals  under  investigation  at  lunch  in  the  White  House, 

”In  attacking  the  action  of  Congress  with  regard  to  Lovett, 
Watson  and  Dodd,  Jr.  ,  as  usurpation  of  the  executive  function,  the 
President  may  be  legally  correct  but,  remembering  his  own  usurpation 
of  the  legislative  function  in  the  case  of  the  salary  limitation 
within  the  last  year,  it  is  easier  to  believe  that  the  effect  is  more 
offensive  to  him  than  the  quality  of  the  act.  The  effect  is  to  pub¬ 
licize  to  the  people  the  strong  affection  of  the  New  Deal  for  people 
who  see  little  good  in  and  less  hope  for  the  preservation  of  the 
form  of  government  which  was  intrusted  to  Mr.  Roosevelt  in  1932  and 
who  have  tried  to  Junk  or  alter  it  and  with  considerable  success  to 
iate.  Mr,  Roosevelt  may  be  able  to  keep  on  the  pay  rolls  the  three 
relatively  unimportant  and  harmless  individuals  who  were  slgnled  out 
for  the  special  attention  of  Congress  but  the  country  of  course  will 
wonder  why  he  is  so  devoted  to  them  when  he  has  a  choice  from  so  many 
Americans  whose  ideas  are  strictly  orthodox  and  whose  associations 
are  above  suspicion.  ” 

XXXXXXXX 


MARSHALL  FIELD  APPEAL  NOT  EXPECTED  TO  SWAY  PETRILLO 


Although  Marshall  Field  is  known  to  have  the  backing  of 
President  Roosevelt  in  many  matters,  it  is  not  believed  James  C, 
Petrillo,  President  of  the  American  Federation  of  Musicians,  will 
grant  the  request  of  Mr,  Field,  who  as  President  of  the  Board  of 
Directors  of  the  New  York  Philharmonic  Orchestra,  asked  Petrillo  to 
lift  the  ban  on  Philharmonic  broadcast  recordings.  As  far  as  the 
President  is  concerned,  Ur,  Petrillo  in  giving  the  free  orchestra 
concerts,  supposedly  at  Mr.  Roosevelt' s  suggestion,  may  feel  that  he 
too  may  have  the  personal  interest  of  the  Chief  Executive, 

Mr,  Field's  letter  was  in  response  to  a  request  from  the 
AFM  president  that  the  Philharmonic  Orchestra  participate  in  the 
concerts  that  the  union  proposes  to  give  in  the  smaller  cities  with 
the  union  musicians  of  leading  symphonic  organizations. 

Although  reported  that  the  War  Labor  Board  panel  hearings 
would  begin  in  New  York  next  Monday  (August  16),  it  was  said  at  WLB 
that  the  date  as  yet  had  not  been  definitely  set.  The  panel  is 

-  2  - 


8/X0/43 


composed  of  Arthur  Meyer,  Vice-Chairmen  of  the  Regional  War  Labor 
Board  in  New  York  City,  Henry  S.  Woodbridge,  Assistant  to  the  Presi¬ 
dent  of  the  American  Optical  Company  and  Max  Zaritzky,  President 
of  the  United  Hatter,  Cap  and  Millinery  Workers,  AFL,  Since  most 
of  the  parties  concerned  are  in  New  York,  panel  hearings  will  likely 
be  held  there  but  if  there  is  another  Board  hearing,  as  there  most 
probably  will  be,  that  would  take  place  in  Washington.  All  hearings 
ij  will  be  public. 

The  proposal  said  to  have  been  made  by  ]Ar,  Petrlllo  and 
considered  at  a  meeting  of  radio  and  transcription  officials  in  New 
York  last  week,  was  understood  to  have  been  rejected.  The  plan 
provided  for  payment  to  the  union  of  $18,000,000  over  a  five-year 
period  in  exchange  for  which  the  federation  would  cooperation  with 
the  recording  companies  in  seeking  new  copyright  legislation. 

The  new  legislation  would  presumably  enable  both  the  musi¬ 
cians  and  record  companies  to  collect  fees  from  radio  stations  using 
the  disks, 

••The  philharmonic  Society  desires",  Marshall  Field  wrote 
Mr.  Petrlllo,  "in  fact  requires,  the  royalties  from  its  recordings 
in  order  to  insure  the  continuance  of  the  orchestra  which  you  are 
j  proposing  to  borrow.  The  other  great  symphonic  orchestras  of  this 
1  country  are  similarly  situated.  Their  very  existence  is  threatened 
t  by  the  loss  of  recording  symphonies," 

Mr,  Field  said  he  thought  his  society  would  go  along  with 
I  the  free  concert  idea  provided  that  it  involved  no  cost  to  the 
I  society;  that  cities  on  the  tour  be  approved  by  the  society;  that 
I  performances  be  given  in  the  orchestra's  name;  that  conductors  chos¬ 
en  be  approved  by  the  society  -  and  that  none  of  the  concerts  be 
broadcast  "or  recorded  in  any  way". 

"My  plea  to  you",  said  Mr.  Field  in  his  letter,  copies  of 
which  were  sent  to  heads  of  other  large  symphony  orchestras  in  the 
country,  "is  that  you  will  immediately  lift  your  ban  on  the  record- 
I  Ing  of  symphonic  music  and  by  so  doing  contribute  to  the  availability 
I  of  symphonic  music  throughout  this  country  in  a  manner  that  not  even 
I  your  proposed  concerts  can  accompllsy. 

"We  have  the  word  of  the  Army  and  Navy  officers,  as  well 
as  civilian  officials  in  Washington,  that  the  continuance  of  record¬ 
ing  is  necessary  for  the  maintenance  of  military  and  civilian  morale, 
one  of  the  primary  purposes  stated  by  you  for  your  own  concerts, " 

'  XXXXXXXX 

More  than  half  of  the  134  students  who  completed  six 
5  weeks'  courses  offered  by  the  second  NBC-Northwestem  University 
\  Summer  Radio  Institute  had  signed  up  for  positions  in  the  industry 
before  receiving  their  graduation  certificates  July  29th.  The  radio 
1  stations  to  which  they  will  go  are  scattered  from  Vermont  to  Texas 
j  and  from  Florida  to  Oregon, 

XXXXXXXXXX 

-  3  - 


8/10/43 


RADIO  RESISTOR  EXPANSION  TO  MEET  ALL  MILITARY  NEEDS 


Prospective  expansion  of  radio  resistor  facilities  will 
provide  sufficient  capacity  to  meet  requirements  of  the  armed  ser¬ 
vices  during  the  remainder  of  1943  and  the  first  half  of  1944,  it 
was  indicated  at  a  meeting  of  the  Fixed  and  Variable  Resistors 
Industry  Advisory  Committee  with  War  Production  Board  representat¬ 
ives  in  Washington  recently. 

However,  all  plants  must  operate  at  capacity  and  proper 
distribution  must  be  maintained  in  order  to  achieve  these  goals, 

Daniel  J.  Connor  of  the  WPB  Radio  Division  told  the  meeting.  The 
industry* s  rate  of  production  of  resistors  showed  a  slump  of  approx¬ 
imately  15  percent  in  June,  the  Committee  was  Informed,  Asked  for 
an  opinion  on  the  causes  of  the  June  slump.  Committee  members 
variously  attributed  it  to  hot  weather,  vacations,  absenteeism,  lack 
of  adequate  supervision,  lack  of  orders,  and  high  labor  turnover. 

Scheduling  procedure  under  Order  M-293  was  explained  by 
Oscar  W,  McDaniel  of  the  Radio  Division.  Where  scheduling  is  ap¬ 
plied,  the  Committee  was  told,  material  to  meet  the  schedule  is 
allowed.  Listing  in  M-293,  even  though  scheduling  is  not  institut¬ 
ed,  indicates  that  every  effort  will  be  made  to  provide  material  for 
the  listed  items,  it  was  pointed  out. 

Discussing  change  orders,  Elmer  R,  Crane  of  the  Standard 
Components  Section  and  Government  Presiding  Officer  at  the  meeting, 
urged  the  early  placement  of  orders.  WPB  has  continually  urged  con¬ 
tractors  to  place  orders  early  and  follow  up  with  change  orders 
later,  if  necessary,  he  said.  Resistor  manufacturers  also  should 
order  their  materials  promptly,  the  Committee  was  told. 

The  Radio  Division  recommends  that  manufacturers  accept 
orders  only  to  the  extent  of  their  ability  to  produce,  Mr.  Crane 
3aid.  Under  Priorities  Regulation  1,  he  pointed  out,  manufacturers 
may  refuse  orders  which  they  cannot  deliver  because  of  commitments 
on  equal  or  higher  rated  orders.  If  this  practice  is  followed, 
purchasers  will  be  forced  to  sources  which  are  in  a  position  to  make 
delivery,  the  load  will  be  spread,  and  scheduling  will  be  unneces¬ 
sary,  he  stated. 

Standardization  of  resistors  should  benefit  both  the 
industry  and  the  armed  services.  Col,  G.  C,  Irwin  of  the  Army  Signal 
Corps  Standard  Agency  told  the  Committee,  The  primary  importance 
of  standardization  is  to  insure  that  men  in  the  field  are  able  to 
obtain  repair  parts  that  will  fit  the  equipment  in  use,  he  stated, 
and  the  benefit  to  production  is  a  secondary  factor. 

The  progress  on  resistor  specifications  is  entirely  satis¬ 
factory  except  for  the  length  of  time  it  has  taken  to  develop  the 
program.  Colonel  Irwin  -said.  The  Standards  Agency  does  now  seek  to 
dictate  the  standards,  but  is  providing  a  meeting  ground  for  industry 
and  the  services  to  develop  the  most  suitable  specifications.  When 
an  agreement  has  been  reached,  the  standards  will  be  issued  as  war 
standards  and  will  be  processed  immediately  as  Army,  Navy  or  joint 
Army-Navy  specification.  Colonel  Irwin  explained. 

XXXXXXXX 


4 


8/10/43 


STORER  GROUP  APPLY  FOR  NEW  50  KW  DETROIT  OUTLET 


President  of  the  Fort  Industry  Company  already  operating 
a  well-known  group  of  mid- we stern  stations,  Lieut.  Commander  George 
B.  Store r,  in  the  Naval  Reserve,  is  the  head  of  a  new  company  seek¬ 
ing  a  50,000  watt  outlet  in  Detroit.  The  application  was  filed  by 
William  J.  Dempsey,  former  Chief  Counsel  of  the  Federal  Communica¬ 
tions  Commission  and  is  made  in  behalf  of  a  newly  formed  organiza¬ 
tion  -  the  Detroit  Broadcasting  Company  -  of  which  90%  of  the  stock 
is  owned  by  the  Fort  Industry  Company  and  10^  by  Commander  Storer. 

Full  time  on  1220  kc.  is  sought.  An  application  for 
50,000  watts  on  the  same  frequency  filed  by  WGAR,  Cleveland,  now 
U  is  pending  before  the  FCC  following  a  hearing. 

The  Fort  Industry  stations,  whose  slogan  is  ’’You  Can  Bank 
on  Ihera"  are  WSPD,  Toledo,  WAGA,  Atlanta,  Ga. ,  WLOK,  Lima,  Ohio; 

WHIZ,  Zanesville,  Ohio;  WWVA,  Wheeling,  West  Virginia,  and  WMMN, 
Fairmont,  West  Virginia, 

Commander  Storer  continues  to  be  stationed  in  Chicago; 

J.  Harold  Ryan,  Fort  Industry  Co.  Vice-President  and  General  Manager, 
is  on  leave  and  serving  as  Assistant  Director  of  Censorship  in 
Charge  of  Radio  in  Washington, 

xxxxxxxx 


SHORT-WAVE  OVERSEAS  SERVICE  BLACKED  OUT  BY  SUNSPOTS 


An  almost  complete  blackout  of  short-wave  broadcasts 
between  the  United  States  and  Europe  occurred  Itonday.  Observers  of 
the  Columbia  Broadcasting  System  in  New  York  said  that  all  radio 
stations  on  the  Continent  were  out  and  that  the  London  overseas 
radio  had  been  forced  off  the  air  for  the  first  time  in  Columbia's 
monitoring  history. 

The  overseas  service  of  Radio  Corporation  of  America  was 
halted  at  3  P.M.  Monday  and  still  was  blanketed  seven  hours  later. 
RCA  said  there  had  been  no  Interference  in  domestic  broadcasting, 
but  slight  disruptions  in  telegraph  and  teletype  facilities  had  been 
reported. 

The  Mackay  Radio  and  Telegraph  Co,  reported  that  all  radio 
service  had  been  halted,  except  to  the  West  Coast  and  to  South 
America,  since  late  afternoon.  There  were  no  disruptions  of  cable 
service,  the  company  said. 

All  observers  attributed  the  short- wa„ve  blackout  to 
periodic  sun-spot  disturbances. 

XXXXXXXX 


5 


8/10/43 


FLY  AND  COX  CONTINUE  TO  SLUG  IT  OUT  PUBLICLY 


There  has  been  no  let-up  in  the  public  slugfest  between 
i  Chairman  Ply  of  the  Federal  Communications  Commission  and  the  Cox 
FCC  Investigating  Committee,  Although  the  hearings  of  the  sub¬ 
committee  in  New  York  were  only  supposed  to  last  a  few  days,  they 
occupied  an  entire  week  with  so  much  ground  yet  to  be  covered  that 
Representative  Eugene  Cox  (D),  of  Georgia,  called  off  the  scheduled 
session  of  the  full  committee  in  Washington  today  (Tuesday, 

August  10)  and  instead  has  gone  to  New  York  to  conduct  the  remainder 
of  the  hearings  there  personally. 

!  In  the  meantime  the  ire  of  Chairman  Fly  was  aroused  by 

I  Eugene  L.  Garey,  General  Counsel  for  the  Cox  Committee  saying  that 
i  testimony  taken  in  New  York  during  the  past  week  showed  the  FCC 
and  Office  of  War  Information  had  built  up  "a  hive  of  alien  ideol¬ 
ogies”  in  foreign  language  radio  stations. 

Mr,  Garey  asserted  the  FCC  and  Office  of  War  Information 
j  had  set  up  in  the  domestic  foreign  language  stations  ideologies 
I  "alien  in  fact,  alien  in  purpose,  to  the  people  of  the  United 
!  States  and  to  impose  the  ideologies  on  the  American  people  and  tell 
!  them  what  our  war  aims  and  purposes  should  be,  ” 

He  stated  ”a  large  majority  of  the  foreign  language  staffs 
;  of  the  stations  had  been  in  the  United  States  only  from  5  weeks  to 
I  18  months  at  the  time  of  their  appointment,  and  that  evidence  showed 
the  program  was  undertaken  at  the  direction  of  the  FCC, 

The  attorney  said  neither  the  FCCnor  the  OWI  had  legal 
power  to  ”do  what  they  are  doing”  in  respect  to  hiring  or  firing  of 
broadcasters  in  the  foreign  language  stations. 

Mr,  Garey  expressed  fear  ”the  censorship”,  which  he  claim¬ 
ed  existed,  might  carry  through  to  religious  programs  and  that  "the 
next  thing  will  be  the  press". 

Chairman  Fly  branded  as  false  the  statements  made  by 
counsel  for  the  Cox  Committee  at  the  hearings  in  New  York  denying 
the  authority  of  the  Federal  Communications  Commission  to  keep  an 
eye  on  the  operation  of  our  foreign  language  broadcast  stations, 

Mr.  Fly  drew  attention  to  the  fact  that  neither  he  nor  any  other 
representative  of  the  Commission  has  been  permitted  to  take  the 
I  witness  stand  to  give  to  the  Committee  or  the  public  the  full  facts 
regarding  these  matters,  Mr.  Fly  said: 

"These  irresponsible  charges  of  the  Cox  Committee  counsel 
I  follow  the  pattern  of  *  judicial'  conduct  which  has  characterized 
*  this  whole  proceeding.  It  is  somewhat  startling  to  see  the  Cox 
f  Committee  counsel  step  out  publicly  in  favor  of  pro-Fhsclst  broad¬ 
casts  in  this  country  and,  at  the  same  time,  charge  this  Commission 
I  with  endeavoring  to  force  its  'political'  beliefs  on  the  broad- 
^  casters. 


r-% 


8/10/43 


"The  Commission  would  be  derelict  in  its  duties  as  pro¬ 
vided  in  the  Communications  Act,  especially  in  time  of  war,  if  it 
did  not  check  on  these  domestic  stations  broadcasting  in  the 
enemy’s  own  language.  The  reason  for  this  obligation  is  obvious. 
With  one  hundred  seventy  stations  broadcasting  foreign  language 
programs  -  many  in  enemy  tongues  and  directed  at  the  millions  of 
our  people  of  foreign  origins  -  it  is  imperative  for  the  national 
security  that  the  Federal  Government  exercise  some  degree  of  caution 
to  guard  against  the  use  of  the  public’s  own  airways  to  promote  the 
Interests  of  our  enemies.  The  stations,  almost  without  exception, 
have  welcomed  this  service  as  a  protection  to  themselves  and  as  an 
assistance  in  their  efforts  to  promote  war  activities  and  have  co¬ 
operated  wholeheartedly.  The  Commission  has  never  censored  any 
program  of  any  broadcasting  station,  and  it  is  a  fortunate  circum¬ 
stance  that  it  has  not  found  it  necessary  to  revoke  a  single  station 
license  to  prevent  these  grave  abuses, 

"This  latest  line  of  attack  is  typical  of  the  reckless 
methods  that  have  characterized  the  whole  Cox  investigation  up  to 
date,  Mr.  Garey’s  statement  is  simply  a  reiteration  of  the  conclu¬ 
sions  announced  in  advance  of  a  hearing  and  which,  after  a  week,  he 
has  utterly  failed  to  prove.  " 

Commissioner  C.  J.  Durr  said  that  the  FCC  "has  not 
attempted  to  dictate  to  any  station  with  reference  to  the  hiring  or 
firing  of  foreign  language  broadcasters". 

XXXXXXXX 


U,  S,  PROBES  11  MORE  NAILED  AS  JAP  RADIO  PROPAGANDISTS 


As  a  follow-up  to  the  recent  indictments  against  eight 
Americans  in  Europe  for  treason,  nearly  a  dozen  more  are  under  study 
by  the  Department  of  Justice  on  the  same  charge  for  serving  as 
Japanese  radio  propagandists. 

The  Office  of  War  Information  gives  their  names  as  follows: 

Frances  Hopkins,  believed  to  be  a  former  missionery;  Mrs, 

Henry  Topping  "the  most  loved  and  honored  American  in  Japan",  who 
has  been  there  since  1895;  Charles  Hisao  Yoshii,  American-born 
Japanese,  graduate  of  the  University  of  Oregon,  formerly  did  some 
newspaper  work  and  radio  broadcasting  in  this  country;  Frank  Watanabe 
(radio  name),  who  is  believed  to  have  lived  in  Los  Angeles  prior  to 
taking  up  present  radio  duties;  William  Axling,  preacher,  who  is  not 
a  member  of  the  staff,  but  is  quite  frequently  heard  over  Radio 
Tokyo;  Edward  Kuroishi,  San  Francisco-born  member  of  the  regular 
Radio  Tokyo  staff;  Fumikio  Saisho,  graduate  of  the  University  of 
Michigan,  member  of  the  regular  radio  staff,  who  also  writes  commen¬ 
taries  and  programs;  Herbert  Moy,New  York  born  Chinese,  mainstay  for 
news  and  comments  on  Jap-controlled  radio,  can  easily  rate  the  most 
brilliant,  fluent  and  persuasive  of  the  renegard  crop;  Don  Chisholm, 
American-born  and  American  citizen  was  news  announcer  and  commentator 

-  7  - 


V.-;..,  a; 


8/10/43 


over  Jap- controlled  radio  in  Shanghai;  Shoichi  Murata,  now  broad¬ 
casting  for  Radio  Tokyo. 

The  list  also  contained  the  name  of  Carl  Flick-Steger, 
who  was  said  to  be  known  in  Providence,  R,  I,,  where  he  was  born  of 
German  extraction.  The  memorandum  stated,  however,  that  Flick- 
Steger  has  already  renounced  his  American  citizenship  and  is  under 
German  influence  entirely.  He  is  a  manager  of  a  radio  station  in 
Shanghai,  Jap  controlled. 


XXXXXXXX 

CAPITAL  AND  LABOR  TO  FIOHT  IT  OUT  ON  AIR  AND  SCREEN 


In  the  first  all-out  fight  ever  made  utilizing  the  three 
outstanding  show  biz  media,  labor  and  capital  will  slug  it  out  thi^^ 
Fall  and  Winter  via  a  series  of  stage,  screen  and  radio  presenta¬ 
tions,  aimed  at  reaching  their  respective  millions  of  sympathizers, 
Variety  reports. 

Plans  for  the  campaign  have  been  quietly  shaping  up  dur¬ 
ing  the  past  few  weeks  and,  on  the  basis  of  what  has  been  accom¬ 
plished  thus  far,  it’ll  be  no  pollyanna  slugfest.  As  far  as  labor 
is  concerned,  the  CIO  is  projecting  itself  into  the  show  biz  pic¬ 
ture  on  a  big  scale  to  let  the  people  of  America  know  it's  a  battle 
for  survival. 

Through  the  educational  division  of  the  UAW-CIO,  a  radio 
series  is  in  the  making  which  will  have  definite  political  overtones 
with  labor  taking  a  stand  on  the  rollback  of  prices  and  fighting 
the  subsidies.  While  it's  realized  they're  late  in  getting  into 
the  battle  via  the  CIO-sponsored  radio  presentations  in  countering 
the  air  programs  of  anti-labor  monied  interests,  it's  felt  that  much 
good  can  still  be  accomplished  by  the  time  Congress  gets  back  to 
Washington, 


XXXXXXXX 


This  cheering  news  from  a  bulletin  of  M  Broadcasters, Inc. 

"We  note  that  static  -  according  to  its  summertime  wont  -  is 
on  the  increase,  making  ordinary  radio  reception  sound  like  the 
battle  of  Midway  these  sultry  nights.  Folks  with  M  receivers  don't 
know  anything  about  this,  of  course.  Lightning  could  blast  the  top 
of  the  house  off,  but  FIvI  still  flows  in  unruffled,  minus  crashes, 
devoid  of  crackles.  The  many  thousand  families  who  had  frequency 
modulation  receivers  last  Summer,  and  even  the  Summer  before  that, 
have  come  to  accept  the  phenomenon.  They  almost  take  noise-free 
reception  for  granted,  except  when  they  go  out  to  play  bridge  with 
the  Joneses  and  sit  through  a  barrage  of  static- ridden  background 
music.  ” 


XXXXXXXXX 
-  8  - 


I 


I 


8/10/43 


The  American  Communications  Association  (CIO)  indicated 
It  may  carry  its  fight  to  block  the  merger  of  Western  Union  and 
Postal  Telegraph  to  court  if  the  proposed  plan  is  approved  by  the 
Federal  Communications  Commission,  Chairman  Fly  of  the  FCC  has 
warned  the  Western  Union  the  FCC  would  not  approve  its  proposed 
merger  with  Postal  Telegraph  if  all  Postal  offices  are  to  be  closed. 

The  $5, 500,000  cut  made  by  Congress  in  the  appropriations 
of  the  Domestic  Branch  of  the  Office  of  War  Information,  has  caused 
OWI  to  reduce  its  staff  from  1300  employees  to  495,  it  was  learned 
from  Palmer  Hoyt,  new  Director  of  the  Division, 


Lieut,  John  H,  Garey,  a  former  guide  on  NBC*s  Guest  Rela¬ 
tions  staff,  was  reported  missing  after  his  plane  failed  to  return 
from  a  mission  over  Hanover,  Germany,  on  July  26. 


Tony  Wakeraan,  Sports  Editor  of  WINX  in  Washington,  D. C. , 
lost  his  appeal  for  occupational  draft  deferment. 


The  gross  income  of  the  Radio  Corporation  of  America  and 
its  subsidiaries  from  all  sources  for  the  first  six  months  of  1943 
I  totaled  $141,001,366,  a  Jump  of  $51,565,900  over  the  first  half 
of  last  year,  the  Financial  Editor  of  the  New  York  Times  notes. 

This  sharp  gain  in  revenues  reflects  the  accelerated  tempo  at  which 
the  RCA  organization  is  turning  out  war  materials  for  the  armed  ser¬ 
vices.  But,  despite  this  gain,  net  income  for  the  six  months  of 
this  year  actually  ran  lower  than  a  year  ago,  the  report  showing  a 
net  of  $4,918,794,  against  $4,966,017,  a  decrease  of  $47,223.  Taxes 
are  not  entirely  the  cause  of  this  result  although  they  increased 
$4,770,100  to  $14,204,800. 


Approximately  45,000  radio  sets,  valued  at  90,000,000 
pesetas,  were  produced  in  Spain  in  1942.  A  foreign  technical  Journal 
states  that  170  companies  there  are  now  engaged  in  manufacturing 
radio  apparatus. 


Jeff  Sparks,  formerly  in  charge  of  night  operations  at 
WABC,  has  resigned  to  become  Program  Director  for  an  overseas  Red 
Cross  unit  and  leaves  shortly  for  Washington, 


Station  WBEZ,  the  Board  of  Education,  Chicago,  Ill,,  was 
granted  authority  by  the  Federal  Communications  Commission  to  con¬ 
struct  a  new  non- commercial  educational  broadcast  station  to  use 
frequency  42,500  kilocycles  with  power  of  1  kilowatt,  limited  time 
for  frequency  modulation. 


A  24«page  nontechnical  book  titled  ”How  Electronic  Tubes 
Work”  has  been  produced  by  the  General  Electric  Electronics  Depart¬ 
ment  at  Schenectady,  N.Y,  It  is  designed  primarily  for  Industrial 
engineers.  The  book  is  available  free  on  request  to  Dept,  6-215, 


-  9  - 


i 


.r  '  f  ; 


v 


8/10/43 


publicity  Division,  General  Electric  Company,  Schenectady,  New 
York, 


Since  he  first  made  the  offer  three  weeks  ago,  Alfred  W, 
McCann,  conductor  of  WOR' s  “Pure  Food  Hour”,  has  received  13,031 
requests  for  his  booklet  on  home  canning. 


Led  by  record  business  In  June  and  July,  WOR* s  dollar 
sales  volume  for  the  second  quarter  of  1943  has  topped  every  figure 
chalked  up  by  the  Station  during  that  period  In  the  past. 

According  to  Eugene  S.  Thomas,  WOR  Sales  Manager,  the  new 
record  was  the  result  of  an  unusually  heavy  placement  of  Fhll  orders, 
presaging  one  of  the  busiest  Falls  In  the  station* s  history.  W0R*s 
dollar  volume  sales  were  11  percent  over  the  second  quarter  in  1942. 


Theodore  Gamble,  assistant  to  Secretary  of  the  Treasury 
Henry  Morgenthau,  Jr,  ,  has  been  added  to  the  list  of  speakers, 
including  Palmer  Hoyt  of  OWI,  and  Edward  M,  Allen,  President  of  the 
National  Retail  Dry  Goods  Association,  who  will  address  the  na¬ 
tion*  s  retailers  on  August  10  over  a  closed  circuit  to  NBC  affili¬ 
ates  when  groups  of  retailers  will  meet  in  local  studios  to  hear 
authorities  explain  plans  for  the  coming  War  Bond  Campaign, 


I,  J,  Kaar  and  G,  W,  Nevln  have  been  appointed  managers 
of  the  Receiver  and  Tube  Divisions,  respectively,  of  General 
Electric* s  Electronics  Department.  The  Receiver  Division  is  located 
in  Bridgeport,  Conn. ,  while  the  headquarters  of  the  Tube  Division 
are  located  In  Schendctady,  with  manufacturing  plants  in  four  cities. 

Mr.  Kaar,  a  California,  was  formerly  Managing  Engineer 
of  the  G, E,  Receiver  Division  and  graduated  from  the  University  of 
Utah. 

Mr,  Nevln,  hailing  from  Idaho  was  formerly  Chairman  of 
the  Itoageraent  Committee  of  the  Tube  Division  of  the  Electronics 
Department, 


The  contents  of  the  current  issue  of  ’’Radio  Age”  for  Oct¬ 
ober,  published  by  the  RCA  Department  of  Information,  include: 

’’Radar  -  Wartime  Miracle  of  Radio”,  ’’Lower  Distribution 
Costs  Sought”,  by  E,  W.  Butler;  ”*For  This  We  Fight*  looks  Ahead,  by 
Dr.  James  R,  Angell;  ”RCA  War  Production”,  Picture  Story  of  Manu¬ 
facturing  for  War;  ”With  RCA  -  North  of  the  Border”,  by  A,  Usher; 
''Daytime  Programs  Change”  by  Edgar  Kobak;  ’’’Sewing*  by  Radio  Shown”, 
%chine  Developed  by  RCA  Laboratories;  ”RCA  Lifeboat  Sets  Save  84”; 
''RCA  Develops  Stethoscope”;  New  Role  Seen  for  Radio”;  ’’Stations 
Built  for  Allies”;  ’’Future  Linked  With  Science”,  Sarnoff  in  Univer¬ 
sity  of  Air  Broadcast;  ”Testing  Radio  *7  Miles  Up’”;  ’’Outlook  of 
Post-War  Television  Is  Bright”, 

XXXXXXXXXX 


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8/10/43 


MARITIME  GOLD  STAR  TO  FEDERAL  TELEPHONE  AND  RADIO 


Award  of  the  first  gold  star  to  be  added  to  the  "M" 

Pennant  of  Federal  Telephone  and  Radio  Corporation,  manufacturing 
associate  of  International  Telephone  and  Telegraph  Corporation,  has 
been  made  by  the  United  States  Maritime  Commisfsion  in  recognition 
'  of  Federal's  continued  outstanding  pi'oduction  achievement. 

Colonel  Soathenes  Behn,  President  of  I,  T.  &  T.  ,  was 
I  advised  of  the  new  honor  by  the  following  telegram  from  Admiral 
'  H.  L.  Vickery,  Chairman  of  the  Maritime  Commission’s  Board  of  Award^.. 

i  "In  recognition  of  your  continued  outstanding  production 

I  achievement  the  Board  of  Awards  of  the  United  States  Maritime  Com- 
I  mission  has  awarded  Federal  Telephone  and  Radio  Corooration  its 
first  gold  star  to  be  added  to  your  ”M”  Pennant. " 

The  Maritime  Commission  "M"  Pennant  and  Victory  Fleet 
were  awarded  previously  to  Federal  for  outstanding  performance  in 
the  development  and  production  of  radio  equipment  for  ships  of  the 
Liberty  and  Victory  fleets, 

E.  H,  Price  has  been  appointed  Manager  of  the  Marine 
j  Division  of  the  Mackay Radio  and  Telegraph  Coimpany,  an  affiliate  of 

!  the  International  Telephone  and  Telegraph  Corporation,  to  fill  the 

I  vacancy  resulting  from  the  recent  death  of  Walter  V,  Russ. 

i  The  Company  also  named  James  T,  Chatterton,  former  Dist- 

!  rict  Manager  of  its  Washington,  D.  C,  office  to  succeed  Mr.  Price 
as  Commercial  Manager,  with  headquarters  in  New  York  City,  Mr, 

I  Price  has  served  the  company  as  District  Manager  of  its  offices  at 

I  San  Diego  and  Los  Angeles,  California;  Portland,  Oregon,  and  later 

as  Commercial  Manager  in  San  Francisco, 

i 

Mr,  Chatterton  was  formerly  chief  operated  and  later 
District  Manager  in  Chicago  and  in  1942  was  transferred  to  Washing¬ 
ton,  D,  C,  as  District  Manager, 

xxxxxxxxxx 

MUTUAL  BILLINGS  UP  104  P,  C. 

The  Mutual  network  gross  billings  continued  the  upward 
trend  first  made  evident  in  April,  1943,  when  the  July  gross  bill¬ 
ings  marked  the  third  consecutive  month  of  over  million  dollar  sales 
for  the  network.  The  gross  billings  for  July,  1943,  totalled 
$1,088,809,  an  increase  of  104.9  percent  over  July  1942,  when  the 
figure  of  $531,305  was  reported. 

The  seven  months  cumulative  billings  for  1943  totalled 
$6,991,727,  a  19.2  per  cent  increase  over  a  similar  period  in  1942 
when  the  figure  was  $5,866,408. 

XXXXXXXX 


11  - 


Heinl  Radio  Business  Letter 


2400  CALIFORNIA  STREET 


WASHINGTON,  D.  C. 


Blasting  Cox,  Fly  Puts  Wall  Street  Tag  On  FCC  Probe . 1 

RMA  Plans  Postwar  Study;  New  Committees  Appointed . ,S 

Fulton  Lewis,  Jr,,  Rebels  Against  OWI*s  Latest  Boner . 4 

Jersey  City,  Tampa  Power  Increases  Denied;  Miami  O.K . 5 


Probe  Of  OWI  Broadcasts  To  Be  Asked  Of  Congress.,,. 

Anti-Petrillo  Fight  Gains  Congressional  Support.... 

Way  Cleared  To  Construct  Or  Change  Local  Stations,. 

Cox-FCC  N.Y,  Hearings  To  Continue  Through  Next  Week 

Blue  Network  Sale  Now  Awaits  FCC  Approval, . . 

WMC  Manpower  Revision  May  Include  Radio . 

Trade  Notes . . 


.  6 

,7 

.8 

.9 

10 

10 

11 


No.  1553 


BLASTING  COX,  FLY  PUTS  WALL  STREET  TAG  ON  FCC  PROBE 


Continuing  the  most  amazing  spectacle  the  Capital  has  ever 
seen  of  a  Bureau  Chief  repeatedly  talking  back  to  a  Congressional 
Committee  Investigating  him,  James  L.  Fly,  Chairman  of  the  Federal 
Communications  Commission,  challenged  Representative  Cox  (D),  of 
Georgia,  in  New  York  this  week  conducting  subcommittee  hearings  with; 

"Again  I  want  to  raise  the  oft- repeated  question  as  to  when, 
if  ever,  the  Commission  will  be  heard  on  the  witness  stand  and  when 
will  it  be  permitted  to  put  in  its  evidence?" 

Chainnan  Fly  said  the  Cox  Committee  hearings  had  been  grind¬ 
ing  along  now  for  about  two  months  but  no  FCC  Commissioner  or  anybody 
who  had  a  good  word  to  say  for  the  Commission  had  been  given  an 
opportunity  to  be  heard.  He  said  Representative  Cox  was  running  the 
investigation  "like  the  old  shell  game", 

"The  public  has  heard  of  the  silent  star  chamber  proceed¬ 
ings  and  of  the  refusal  to  permit  the  Commission  to  be  heard",  Mr« 

Fly  went  on,  "The  public  knows  also  that  we  are  not  permitted  to  buy 
copies  of  that  star-chamber  testimony.  Perhaps  it  has  not  observed 
that  the  Investigating  Committee  counsel  nevertheless  reads  carefully 
selected  portions  of  that  stuff  into  the  record  as  'evidence'," 

Likewise  the  irate  Chairman  proceeded  to  put  the  Wall 
Street  hall-mark  on  his  Inquisitors, 

"I  notice  that  the  Cox  Committee  has  now  publicly  announced 
its  Wall  Street  headquarters",  Mr,  Fly  continued.  "At  least  the 
(iaily  press  reported  that  Committee  counsel  had  had  a  press  confer¬ 
ence  at  63  Wall  Street,  announcing  once  more  what  the  Committee  had 
concluded  on  the  basis  of  the  'evidence'  presented  to  date.  With  no 
responsible  evidence  in  the  record,  Counsel  made  known  the  Cox  Com¬ 
mittee's  conclusion  as  to  the  impropriety  of  the  Communications  Com¬ 
mission  keeping  an  eye  on  these  broadcasts  to  our  own  foreign-bom 
citizens  in  enemy  languages.  It  should  be  of  some  interest  that 
Congress  has  specifically  appropriated  funds  to  cover  this  work  of 
the  Commission.  1 1  is  also  to  be  noted  that  all  of  the  men  affected 
have  very  definite  and  convincing  pro-Fasclst  backgrounds  and  alli¬ 
ances.  If  the  Cox  Committee  is  going  to  formally  adopt  the  conclu¬ 
sions  announced  from  Wall  Street  headquarters,  it  must  be  prepared  to 
accept  a  grave  public  responsibility,  I  must  say  that  this  most 
recent  device  adopted  of  having  counsel  call  a  press  conference  at 
Wall  Street  headquarters  and  announcing  Committee  conclusions  from 
there  seems  to  be  somewhat  of  a  new  departure.  The  Wall  Street  con¬ 
nection  has  always  been  obvious  for  various  apparent  reasons, " 

-  1  - 


8/13/43 


Asked  If  the  FCC  would  have  the  same  right  to  Investigate 
personnel  of  stations  which  are  not  carrying  foreign  language  broad¬ 
casts,  Mr,  Fly  replied: 

”We  would  have  the  same  rights,  except,  of  course,  there 
would  be  less  cause  in  time  of  war  to  wonder  about  the  American 
speaking  broadcasts  -  less  cause  to  wonder  about  these  than  the 
foreign  language  programs  particularly  where  the  enemy  language  Is 
used.  In  other  words,  you  have  the  authority  and  the  duty  in  either 
case  but  it  is  a  simpler  problem  with  our  English  speaking  broadcasts.'^ 

^estioned  as  to  whether  there  ha.d  been  any  indication  that 
Attorney  General  Biddle  intended  to  press  the  case  against  Representa¬ 
tive  Cox  charged  by  the  FCC  with  taking  $8500  as  a  lobbying  fee  in 
connection  with  a  Georgia  station,  Chairman  Fly  said  that  he  had  not 
been  in  touch  with  the  Attorney  General  about  it.  He  added  the  FCC 
had  had  a  formal  acknowledgment  from  Mr.  Biddle  however. 

Commenting  upon  this  phase  of  the  case,  Drew  Pearson, 
columnist,  wrote: 

"President  Roosevelt  is  qyoted  by  friends  as  having  remark¬ 
ed  pointedly  to  Attorney  General  Biddle  at  one  Cabinet  meeting: 

'Well,  Francis,  when  are  you  going  to  prosecute  Cox?*" 

Along  the  same  line  the  Washington  Post  remarked  editorially: 

"Nothing  the  Cox  committee  has  been  able  to  turn  up,  more¬ 
over,  matches  the  shocking  conduct  of  Congressman  Cox  himself  in 
accepting  $2,500  from  Station  WALB  for  legal  expenses  after  he  had 
Importuned  the  FCC  to  grant  that  station  a  license.  Every  new  charge 
that  Mr.  Cox  and  his  aides  bring  against  the  Commission  has  the 
effect  of  emphasizing  his  own  misconduct.  Each  new  smear  that  the 
Committee  devises  puts  Speaker  Rayburn  deeper  into  hot  water  for 
allowing  Mr.  Cox,  a  stockholder  in  a  broadcasting  company  seeking 
renewal  of  a  license,  to  persecute  the  Government's  broadcast  regula¬ 
ting  agency  in  the  name  of  the  House  of  Representatives,  Each  new 
smear  also  advertises  the  pusillanimity  of  the  Attorney  General  who 
refuses  to  submit  the  Cox  case  to  a  grand  Jury  in  accord  with  the  law 
of  the  land.  The  Cox  Committee  is  succeeding  only  in  bringing  into 
contempt  those  weak-kneed  officials  who  lack  the  stamina  to  stand  out 
against  corruption  and  smearing  when  politics  are  involved.  " 

XXXXXXXX 

RMA  PLANS  POSTWAR  STUDY;  NEW  COMITTEES  APPOINTED 

The  radio  manufacturers  are  taking  definite  steps  with 
regard  to  postwar  readjustment  problems.  Paul  Galvin,  President  of 
the  Radio  Manufacturers'  Association,  has  appointed  R.  C.  Cosgrx)ve, 
Vice-President  of  the  Crosley  Corporation,  Cincinnati,  Chairman  of  a 
special  Postwar  Planning  Committee, 

The  new  Committee's  work  on  Industry  economic  problems  will 
be  correlated  with  that  of  the  technical  planning  agency  now  being 

-  2  - 


8/13/43 


organized  by  FMA  and  the  Institute  of  Radio  Engineers,  The  Committee 
18  authorized  to  organize  subcommittees  or  panels  and  to  deal  with 
such  subjects  as:  Liaison  Planning  with  Government  and  Industry 

Agencies;  Reconversion  to  Civilian  Production;  Public  Relations  - 
Promotion  and  Advertising;  Distribution  Problems;  War  Contract 
Termination;  War  Inventory  Disposal;  Problems  re  Government  Plants; 
Reemployment  and  Labor  Relations;  Market  Analysis  -  Research;  Patents 
and  Licensing;  and  Export  Markets. 

The  members  of  the  Postwar  Planning  Committee  In  addition 
to  Mr.  Cosgrove  are:  W,  R.  G.  Baker,  General  Electric  Company, 

Bridgeport,  Conn.;  M.  F.  Balcom,  Sylvanla  Electric  Products,  Inc., 
Emporium,  Pa.;  John  Ballantyne,  Philco  Corporation,  Philadelphia,  Pa.; 
H.  C.  Bonfig,  RCA  Victor  Division,  Camden,  N.  J, ;  Walter  Evans, 
Westlngliouse  Elec.  &  Mfg,  Co.,  Baltimore,  Md.  ;  A.  H.  Gardner,  Colonial 
Radio  Corporation,  Buffalo,  N.  Y. ;  Leslie  F,  Muter,  The  Muter  Company, 
Chicago,  Ill. ;  J.  J.  Nance,  Zenith  Radio  Corporation,  Chicago,  HI. ; 

E.  A.  Nicholas,  Farnsworth  Television  &  Radio  Corp, ,  Ft,  Wayne,  Ind.  ; 
Ross  D.  Slragusa,  Continental  Radio  &Televlsion  Corp.,  Chicago,  Ill.; 
Ray  F.  Sparrow,  P,  R.  Mallory  &Co.  ,  Inc.,  Indianapolis,  Ind.,  and 
A.  S.  Wells,  Wells- Gardner  &Co. ,  Chicago,  Ill, 

President  Gavlln  has  appointed  the  Association’s  new  stand¬ 
ing  and  special  committee  Chairmen,  as  follows: 

Standing  Committees: 

By-Laws  and  Organization  -  Leslie  F.  Muter,  Chicago,  Ill, 

Credit  -  T.  A.  White,  Chicago,  Ill.;  Eastern  Vice  Chairman,  H.  A, 

Pope,  Newark,  N.J. ;  Western  Vice  Chairman,  E.  G.  Carlson, 
Chicago,  Ill,; 

Engineering  Department  -  Dr,  W.  R.  G.  Baker,  Bridgeport,  Conn. ; 

Assistant  Director,  Virgil  M.  Graham,  Snporium,  Pa, 

Export  -  Walter  A.  Coogan,  New  York,  N,  Y. 

Legislative  -  J.  J,  Nance,  Chicago,  Ill. 

Membership  -  Roy  Burlew,  Owensboro,  Ky. 

Service  -  F.  E.  Smolek,  Chicago,  Ill. 

Traffic  -  0,  J.  Davies,  Camden,  N.J. 

Special  Committees; 

Organization  of  Radio  Technical  Planning  Board  -  A.  S.  Wells,  Chicago 
Postwar  Planning  -  FU  C,  Cosgrove,  Cincinnati,  Ohio 
Replacement  Parts  -  Robert  C,  Sprague,  North  Adams,  I^ass. 

RMA-OEW  Export  -  Walter  A.  Coogan,  New  York,  N.  Y. 

The  new  Legislative  Committee  will  have  general  Jurisdic¬ 
tion  over  radio  legislation,  both  Congressional  and  State,  Included 
are  several  pending  measures  of  special  industry  Interest  such  as  the 
revision  of  the  war  contract  renegotiation  and  patent  laws  and  the 
bill  of  Senator  Kilgore  for  Federal  mobilization  of  technical 
resources. 


Ray  F,  Sparrow,  head  of  the  Radio  Parts  Division,  has  named 
the  following  Parts  Section  Chairmen; 

Capacitor  -  S,  I,  Cole,  Aerovox  Corporation,  New  Bedford, 
Mass.;  Coil  -  Monte  Cohen,  The  F.  W.  Sickles  Co.,  Springfield,  Mass.; 
Fixed  Resistor,  D.  S.  W.  Kelly,  Allen-Bradley  Company,  Milwai  kee,  Wis.  ; 


8/13/43 


Instrument  -  R.  L.  Triplett,  Readrlte  Meter  Works,  Bluffton,  Ohio; 
Socket  -  Hugh  H.  Eby,  Hugh  H,  Eby,  Inc.,  Philadelphia,  Pa.; 

Switch  -  H,  E,  Osmun,  Centralab,  Milwaukee,  Wls. ;  Transfonner  - 
George  Blackburn,  Chicago  Tmnsformer  Corp,  ,  Chicago,  Ill, ;  Variable 
Condenser  -  Wm.  J.  May,  Radio  Condenser  Company,  Camden,  N.J. ; 
Variable  Resistor  -  J,  H.  Stackpole,  Stackpole  Carbon  Company,  St, 
Marys,  Pa, ;  and  Wire  -  R,  C,  Zender,  Lenz  Electric  Manufacturing 
Co.,  Chicago,  Ill, 

A  meeting  of  the  RMA  Executive  Committee  is  planned  for 
next  month, 

xxxxxxxx 


FULTON  LEWIS,  JR.,  REBELS  AGAINST  OWI»S  LATEST  BONER 


Fulton  Lewis,  Jr.,  Mutual  commentator,  has  apparently  kick¬ 
ed  a  memorandum  clear  over  the  moon  which  the  OWI  sent  out  to  try  to 
line  the  boys  up  for  a  big  hurrah  over  the  2nd  Anniversary  of  the 
signing  of  the  Atlantic  Charter,  Saturday  (August  14).  Mr.  Lewis 
charged  that  OWI  had  attempted  to  induce  the  radio  industry  and  com¬ 
mentators  to  propagandize  a  false  interpretation  of  the  Charter, 
and  that  while  he  approved  of  the  Charter  in  principle,  nevertheless 
he  refused  to  go  along  with  the  phony  version  and  accordingly  served 
notice  on  the  Office  of  War  Information  to  that  effect,  Mr.  Lewis 
was  reported  to  have  received  many  telegrams  and  letters  from 
listeners  backing  him  up. 

The  Office  of  War  Information  denied  it  had  attempted  to 
induce  broadcasters  to  accept  an  erroneous  interpretation. 

The  Washington  News  ( Scripps-Howard)  going  to  the  bat  for 
Mr.  Lewis  said: 

*'The  latest  OWI  boner  is  an  instruction  sheet  for  radio 
stations  advising  them  how  to  help  celebrate  the  second  anniversary 
of  the  Atlantic  Charter  next  Saturday.  These  instructions  say, 
among  other  things,  that  the  Charter  ’has  been  formally  adopted  by 
all  the  United  Nations.  * 

"Fulton  Lewis,  Jr,  ,  of  the  radio,  points  out  correctly  that 
the  Charter  has  not  been  ’formally  adopted*  even  by  the  United  States. 
The  Charter  was  signed  by  F,  D.  R, ,  but  he  can  bind  the  United  States 
to  nothing  without  the  consent  of  the  Senate  or  of  the  whole  Congress." 

The  OWI  memorandum  was  sent  to  individual  news  commenta¬ 
tors  of  radio  forums,  program  directors  of  radio  stations,  and  others 
in  the  world  of  radio  entertainment,  asking  them  to  advertise  and 
promote  the  anniversary.  It  proceeded  to  give  its  interpretation  of 
what  the  Charter  promised,  including  "the  guarantee"  to  every  person 
of  freedom  from  want  and  freedom  from  fear. 


^  4  - 


8/15/43 


"That,  of  course,  Is  not  what  the  Atlantic  Charter  said 
at  all",  Mr,  Lewis  told  his  audience.  "What  it  did  say  was  tha.t  Mr. 
Roosevelt  and  Mr.  Churchill  hope  to  see  established  a  peace  which 
will  afford  to  all  nations  .  ,  .  assurance  that  all  the  men  in  all 
the  lands  may  live  out  their  lives  in  freedom  from  fear  and  want, 

"That  is  a  long,  far  cry  from  any  guarantee. 

"The  memorandum  also  says  that  the  Atlantic  Charter  has 
been  formally  adopted  by  all  the  United  Nations.  That  is  a  flat, 

■  diametric  misstatement  of  fact.  The  Charter  has  not  been  formally 
adopted  even  by  us,  the  United  States.  For  the  United  States,  it 
was  signed  by  President  Roosevelt,  who  can  bind  the  United  States 
to  nothing  whatsoever  without  the  consent  of  the  Senate  of  the 
United  States  and  the  specific  approval  of  Congress  as  a  whole  in 
carrying  out  whatever  material  program  is  involved. 

"On  the  part  of  Russia,  it  was  signed  merely  by  Maxim 
Litvinoff,  the  Commissar  of  Foreign  Affairs,  and  it  was  not  approved 
^  by  the  Russian  Soviet  at  all.  The  same  thing  is  true  in  almost  all 
I  of  the  nations  involved,  including  Britain, " 

f 

I  "To  summarize",  said  Mr.  Lewis,  "the  OWI  -  a  Government 

I  bureau  supposed  to  deal  in  facts  and  facts  only  -  is  ashing  the 
I  entire  radio  industry  to  launch  a  propaganda  campaign,  to  sell  the 
American  people  on  the  idea  that  the  Atlantic  Charter  meant,  not 
I  what  the  President  said;  not  what  the  Charter  said;  but  rather  some¬ 
thing  entirely  different,  which  the  OWI  perhaps  would  like  it  to 
mean.  " 

xxxxxxxxx 

,  JERSEY  CITY,  TAIJIPA  PO^^VER  INCREASES  DENIED;  MIAMI  0,K. 

The  Federal  Communications  Commission  has  denied  the  appli- 
i  cation  of  the 'Bremer  Broadcasting  Corporation,  licensee  of  Station 
^  WaaT,  Jersey  City,  N.J, ,  for  a  construction  permit  to  increase  power 
I  from  one  to  five  kilowatts,  Install  a  new  transmitter  and  effect 
changes  in  its  directional  antenna  system  for  night  use.  WAAT  is 
presently  licensed  to  operate  on  970  kilocycles,  1  kilowatt,  unlim¬ 
ited  time,  with  a  directional  antenna  at  night. 

At  the  same  time,  the  Commission  denied  the  application  of 
f  The  Tribune  Company,  licensee  of  WFLA,  Tampa,  Florida,  for  a  construc- 
'  tlon  permit  to  increase  its  power  from  1  to  5  kilowatts  during  nlght- 
ki  time  operation  and  to  make  correspondent  changes  in  its  directional 
antenna.  WFLA  now  operates  on  970  kilocycles  with  power  of  5  kilo- 
^  watts  day  and  1  KW  night,  with  directional  antenna,  unlimited  time. 

The  Commission’ s  action  on  both  these  applications  followed 

■  Its  policy  with  respect  to  the  use  of  critical  materials  during  the 
I  war  period, 

;  In  another  action,  the  Commission  adopted  a  Decision  and 

■  Order  modifying  a  construction  permit  granted  December  9,  1941,  to 


5 


t 

i 


1 

i 

[ 


■  \ 


8/13/43 


the  Miami  Broadcasting  Co, ,  licensee  of  Station  WQAIv!,  Miami,  Florida, 
so  as  to  permit  utilization  of  its  present  transmitter  site  and 
antenna,  with  5  kilowatts  power,  subject  to  certain  specified  condi¬ 
tions,  WQAM  is  now  operating  on  560  kilocycles,  1  kilowatt  day  and 
nisht,  unlimited  time, 

xxxxxxxxxx 


PROBE  OF  OWI  BROADCASTS  TO  BE  ASKED  OF  CONGRESS 


Congress  having  lopped  off  the  Domestic  Branch  of  the 
Office  of  War  Information,  it  will  be  asked  to  lop  off  the  Overseas 
Branch  by  Representative  J,  William  Ditter,  of  Pennsylvania,  Chair- 
oan  of  the  Republican  Congressional  Committee. 

Recalling  a ssurance 8  to  Congress  that  the  OWI  Overseas 
Branch  would  adhere  to  the  purpose  for  which  it  was  created,  Mr, 

Ditter  said: 

’’Now  in  spite  of  those  assurances  we  find  the  OWI  again 
browbeating  the  radio  industry  into  deluging  the  American  public 
!  with  distorted  propaganda  based  upon  the  coming  anniversary  of  the 
Atlantic  Charter,  Saturday,  It  in  effect  tells  radio  stations  and 
!  networks  to  broadcast  that  the  Atlantic  Charter  frees  the  world  from 
'  fear  and  want, 

”Such  an  intimidation  is  sheer  nonsense.  It  would  have  the 
radio  listeners  told  that  the  Atlantic  Charter  has  been  adopted  by 
all  of  the  United  Nations,  and  that  is  a  plain  misstatement  of  fact. 

It  seeks  to  intimidate  the  broadcasters  by  asking  that  the  amount  of 
time  devoted  to  Atlantic  Charter  propaganda  be  made  known  to  OWI  in 
a  special  report.  Obviously  OWI  is  up  to  its  old  tricks. 

”It  is  conceivable  that  the  ’Moronic  little  King*  broadcast 
delayed  the  capitulation  of  the  Italian  government  and  thereby  added 
to  American  casualties”,  Representative  Ditter  said. 

"Congress,  I  am  convinced,  will  not  continue  to  tolerate 
such  activities  on  the  part  of  the  Office  of  War  Information.  If 
that  office  is  to  be  maintained,  it  must  remove  all  semblance  of 
political  partisanship;  it  must  rid  itself  of  such  stupidity  as  made 
the  Italian  broadcast  possible, " 

Elmer  Davis,  Director  of  OWI  just  returned  from  overseas 
again  denied  that  he  would  resign. 

Palmer  Hoyt,  Director  of  the  Domestic  Division,  said 
Bureau  personnel  reductions  included; 

Special  services,  from  281  to  88;  motion  pictures,  130  to 
14;  radio,  69  to  53;  graphics  and  printing,  74  to  25;  news  189  to 
146;  publications,  37  to  none;  program  coordination,  50  to  44, 

-  6  - 


8/13/43 


fi 

11  Mr.  Hoyt  said  that  the  Domestic  Division  had  cut  777  employ¬ 

ees  from  a  1,269-man  staff  to  conform  with  Congressional  reduction  of 
Its  operating  budget  to  $2,250,000  from  the  $0,800,000  It  had  asked. 


Fbur  major  curtailments  saved  $4,450,000  of  the  $5,550,000 
cut  from  the  Division's  budget  by  Congress.  Elimination  of  the 
field  bureaus  saved  $1,500,000  and  cut  off  370  employees.  The  motion 
picture  bureau  was  allowed  $50,000  for  current  operations  and 
•^950,000  was  saved.  The  Division  abandoned  poster  and  pamphlet  pub¬ 
lication  at  a  saving  of  $2,000,000,  Mr.  Hoyt  said. 


xxxxxxxxx 

ANTI-PETRILLO  FIGHT  GAINS  CONGRESSIONAL  SUPPORT 


Further  Congressional  interest  in  ending  the  Petrlllo  log 
Jam  that  bars  making  of  broadcasters*  discs,  was  shown  when  Repre¬ 
sentative  Joseph  C, Baldwin  (R),  of  New  York,  said  Thursday  that  he 
would  back  a  bill  introduced  by  Representative  Hugh  Scott,  Jr,  (D), 
of  Pennsylvania,  which  would  bring  recordings  under  the  copyright 
law  entitling  the  performer  to  royalties  if  his  records  were  broad¬ 
cast.  Representative  Baldwin  said  he  believed  there  might  be  similar 
action  in  the  Senate, 


Along  with  this  development  there  came  an  announcement 
today  (Friday)  that  the  War  Labor  Board  panel,  which  will  hear  the 
^etrillo  case,  will  probably  convene  in  New  York  City,  Monday, 

;  September  6th,  with  the  possibility  of  a  short  preliminary  session 
i  the  Thursday  before. 

Trouble  was  apparently  indicated  for  Mr.  Petrlllo  when 
some  700  members  of  Local  802,  American  Federation  of  Musicians,  one 
of  his  ovm  unions,  expressed  themselves  as  opposed  to  the  plan  of 
Petrillo  for  free  concerts  in  small  communities.  While  the  musicians 
made  it  clear  that  they  were  not  fighting  the  recording  ban,  they  said 
they  had  noted  that  Mr.  Petrillo  had  declared  repeatedly  that  its 
purpose  was  to  aid  needy  musicians. 

"Last  week,  in  an  apparent  desire  to  gain  the  public  good 
will,  the  Federation  announced  that  it  would  spend  $500,000  on  a 
program  designed  to  bring  good  music  to  small  communities",  their 
petition  set  forth,  "Are  the  musicians  who  are  to  be  so  used  unem¬ 
ployed?  NoJ  Famous  symphony  orchestras  have  been  designated  to  do 
:i  this  work,  " 


Also  taking  a  wallop  at  the  Petrlllo-FDR  free  concert  plan 
and  at  Petrillo  personally,  the  New  York  Times  says: 

"Marshall  Field,  as  President  of  the  Board  of  Directors  of 
^  the  Philharmonic  Symphony  Society,  has  asked  James  C,  Petrillo,  Presi- 
^  dent  of  the  American  Federation  of  Musicians,  to  lift  immediately  his 
^  ban  on  the  recording  of  symphonic  music. 


-  7  - 


8/13/43 


'“My  plea  to  you,  and  I  am  sure  It  will  be  the  plea  of 
the  management  of  every  symphonic  orchestra  in  America* ,  Mr,  Field 
wrote,  *is  that  you  will  Immediately  lift  your  ban  on  recording  of 
symphonic  music  and  by  doijg  so  contribute  to  the  availability  of 
symphonic  music  throughout  this  country  in  a  manner  that  not  even 
your  proposed  concerts  can  accomplish, ' 

"This  plea  has  the  merits  of  understatement.  Mr,  Petrillo, 
through  the  use  of  irresponsible  private  power,  is  denying  music  to 
millions  by  his  ban  on  recording,  while  he  ostentatiously  offers 
‘free  concerts*  as  a  special  favor  to  a  few  thousand.  Why  should  the 
country  be  placed  in  the  position  of  pleading  with  Mr.  Petrillo  to 
remove  a  ban  that  he  ought  never  to  have  had  the  power  to  impose?  Mr. 
Petrillo  has  this  power  only  because  Congress  and  the  Administration 
have  in  effect  delegated  such  power  to  him.  If  they  will  revise  our 
ill-considered  labor  laws,  which  give  Mr.  Petrillo  the  power  to  im¬ 
pose  ruinous  boycotts  against  individual  musicians  as  well  as  concert 
halls,  theatres,  restaurants,  transcription  companies  and  radio  s  ta- 
tions,  nobody  will  have  to  appeal  to  Mr,  Petrillo  not  to  abuse  his 
powers.  They  will  no  longer  be  his  to  abuse.  " 

XXXXXXXX 


WAY  CLEARED  TO  CONSTRUCT  OR  CHANCE  LOCAL  STATIONS 


Upon  consideration  of  a  report  and  recommendation  of  its 
Committee  on  Critical  Radio  Materials,  the  Federal  Communications 
Commission  has  determined  that  under  certain  stated  conditions  it 
would  be  in  the  public  interest  to  grant  applications  for  permits 
Involving  the  use  of  idle  equipment  to  Increase  power  of  100-watt 
local  channel  standard  broadcast  stations  to  250  watts  and  for  con¬ 
struction  of  new  100-watt  or  250-watt  local  channel  stations. 

Applications  for  permits  to  constimict  new  100-watt  and  250- 
watt  local  channel  standard  broadcast  stations  in  cities  or  towns 
where  no  station  is  located  at  present  and  not  located  in  metropoli¬ 
tan  districts  already  served  by  radio  stations,  and  apollcations  to 
Increase  power  of  local  channel  stations  to  250  watts  may  be  granted 
upon  a  satisfactory  showing  that: 

U  All  required  materials,  except  vacuum  tubes,  may  be  obtained 

without  priority  assistance.  (The  Commission  is  Informed  by  the 
War  Production  Board  that  building  construction  requires  a  clear¬ 
ance  which  may  be  obtained  only  when  that  agency  is  satisfied 
that  a  direct  contribution  toward  winning  the  war  is  clearly 
indicated,  ) 

8.  Such  applications  involve  no  inconsistencies  with  the  Commission* s 
Rules  and  Regulations, 

3.  Such  applications  tend  toward  a  fair,  efficient  and  equitable  dis¬ 
tribution  of  radio  service,  are  consistent  with  sound  allocation 
principles,  offer  substantial  improvement  in  standard  broadcast 
service,  and 

Such  applications  are  otherwise  in  the  public  interest, 

-  8  - 


>  .■  '  r 


2 


i  . 


1- 


8/13/43 


Applications  for  local  channel  stations  or  changes  in  such 
stations  which  have  been  dismissed  without  prejudice,  pursuant  to 
the  policy  announced  April  27,  1942,  may  be  reinstated  for  consider- 
ation  in  the  light  of  the  new  circumstances  upon  submission  of  a 
petition  within  thirty  days  of  this  date  showing  (1)  that  such  appli¬ 
cation  is  in  conformity  with  the  foregoing  enumerated  conditions;  and 
(2)  any  and  all  changes  with  respect  to  facts  and  circumstances  as 
represented  in  the  original  application, 

xxxxxxxxx 


COX-FCC  N.Y.  HEARINGS  TO  CONTINUE  THROUGH  NEXT  WEEK 


The  sub-committee  hearings  in  New  York  of  the  select  com- 
mlttee  headed  by  Representative  Eugene  Cox  (D),  of  Georgia,  investi¬ 
gating  the  Federal  Communications  Commission  which  were  only  expected 
to  last  a  few  days  are  scheduled  to  continue  for  at  least  another 
week.  No  date  has  as  yet  been  set  for  the  resumption  of  the  meetings 
of  the  full  committee  in  Washington, 

Reports  of  how  the  FCC  and  the  Office  of  War  Information 
allegedly  cooperated  to  influence  hiring  and  firing  of  foreign  langu¬ 
age  radio  personnel  were  read  into  the  record  at  the  New  York  hear¬ 
ings, 

■  Robert  K,  Richards,  Executive  Assistant  for  Broadcasting 

In  the  Office  of  Censorship,  quoted  Sidney  Spear,  FCC  attorney,  as 
saying  the  FCC  helped  force  removal  of  radio  station  personnel  object¬ 
ed  to  by  Lee  Falk,  head  of  the  OWI’s  foreign  language  broadcast  sec- 
i  tlon.  He  also  quoted  Mr.  Falk  as  asking  censorship  to  notify  him  in 
I  advance  of  any  plan  to  remove  an  individual  from  the  air  so  the  OWI 
’  could  recommend  a  successor, 

Mr,  Spear  was  quoted  in  the  Richards  report  as  saying  that 
I  when  Mr,  Falk  objected  to  a  broadcaster  he  would  tell  the  FCC,  and 
!  when  the  station  applied  for  a  renewal  the  FCC  would  ’’tip  off”  Mr, 

Falk,  who  then  would  call  upon  the  station  manager  and  suggest  that 
the  employee  be  fired. 

Then  the  manager  would  be  given  ”some  time  to  think  this 
over”,  Mr.  Richards  further  quoted  Mr,  Speak,  and  ”after  a  couple  of 
weeks  he  would  begin  to  notice  he  was  having  some  trouble  getting 
Ills  license  renewed  *  *  *  He  would  fire  (the  employee)  and  very 
shortly  after  this  his  license  would  be  renewed,  ” 

Eugene  L,  Garey,  General  Counsel  to  the  Cox  Committee,  told 
the  sub-committee  l 

”If  the  radio  can  thus  be  controlled  in  August  of  1943, 
ft  there  la  nothing  to  prevent  the  same  control  from  slanting  our  pollt- 
}  leal  news.  ” 

XXXXXXXX 


M  9 


?■';  ’  .  .  '  '  -.’■■is  •  i 


?! 


8/13/43 


BLUE  NETWORK  SALE  NOW  AWAITS  FCC  APPROVAL 


The  application  to  transfer  the  licenses  of  the  three  Blue 
Network  stations  -  WJZ,  New  York,  KGO,  San  Francisco,  and  WENR, 

Chicago  -  to  the  new  company  known  as  the  American  Broadcasting 
System,  headed  by  Edward  J,  Noble  ”Life saver"  candy  manufacturer, 
has  been  received  by  the  Federal  Communications  Commission,  The 
Commission  may  consider  the  matter  at  its  next  meeting  Tuesday, 

August  17  th. 

The  Blue  Network  was  sold  to  Mr.  Noble  for  $8,000,000.  He 
Is  President  of  the  American  Broadcasting  System  and  sole  owner  of 
its  $4,000,000  of  capital  stock,  according  to  data  filed  with  the  FCC. 

Assets  of  the  American  Broadcasting  System  were  reported  to 
the  FCC  as  $8,000,000,  Including  the  $4,000,000  capital  stock  and 
the  loan  is  contingent  on  FCC  approval  of  transfer  of  the  Blue  Network 

XXXXXXXXXXXX 


WMC  MANPOWER  REVISION  MAY  INCLUDE  RADIO 


It  is  believed  some  radio  Jobs,  as  well  as  those  in  the 
motion  picture  and  other  entertainment  industries,  may  be  reclassi¬ 
fied  when  the  War  Manpower  Commission  announces  a  completely  over¬ 
hauled  program,  probably  next  Sunday  (August  15th), 

Scheduled  to  be  announced  as  part  of  the  new  line-up  are: 

1.  A  lengthened  nondeferable  list.  Workers  whose  Jobs  are  added  to 
the  nondeferable  list  will  be  denied  further  deferment  from  the 
draft  unless  they  shift  to  war  work  within  a  reasonable  period  of 
time, 

2.  A  brand  new  list  of  "critical"  occupations, 

3.  A  revised  "controlled  hiring"  program.  Controlled  hiring  or  "job 
freeze"  programs  have  been  adopted  in  many  labor  shortage  areas. 
The  revision  will  attempt  to  standardize  the  various  programs 
throughout  the  country  as  part  of  a  renewed  attack  on  labor  turn¬ 
over, 

A  thawing  of  the  wage  control  sections  of  existing  manpower  orders 
to  permit  workers  to  change  Jobs  for  higher  pay. 

It  is  estimated  200  different  Jobs  may  be  classified  as 

critical, 

xxxxxxxxx 


-  10  - 


'  'i 


;  r 

f 


0/13/43 


TRADE  NOTES  : ; 


The  recent  recall  of  the  nomination  of  Commissioner  George 
Henry  Payne  by  President  Roosevelt  evidently  continues  to  puzzle  in¬ 
alders,  "I  don*t  believe  even  George  Henry  himself  knows  why  the 
President  withdrew  his  name”,  a  high  official  said. 


Commissioner  Walker  of  the  FCC  on  August  10th  granted  motion 
to  dismiss  without  prejudice  application  for  consent  to  transfer  con¬ 
trol  of  Southern  California  Broadcasting  Co,  (KWKW),  Pasadena,  Calif., 
from  Marshall  S,  Neal,  Invi dually  and  as  Trustee  of  all  other  stock¬ 
holders  to  L,  W.  Peters, 


The  WPB  Radio  and  Radar  Division  has  asked  the  RMA  to  advise 
manufacturers  that  all  electronic  components  now  classified  as  ”B” 

Items  under  C^IP  procedure  are  being  continued  in  such  classification 
despite  the  wide  discussions  of  future  CMP  changes. 


Representing  a  585^  increase  over  business  signed  in  July, 
1942,  the  WABC  bookings  were  not  only  greater  than  any  other  July  but 
were  the  second  all-time  high  for  any  month,  Arthur  Hull  Hayes,  Gen¬ 
eral  Manager,  said.  The  all-time  monthly  record  was  set  in  August, ’42. 


Stockholders  of  both  the  Western  Union  and  Postal  Telegraph 
have  approved  the  merger  of  the  two  companies.  The  final  decision  is 
with  the  Federal  Communications  Commission,  which  is  continuing  its 
hearings.  Actual  unified  operation  is  expected  to  take  place  about 
October  Ist. 


’’Hams"  are  heroes  in  the  eighth  of  a  series  of  real-life 
dramas,  “Not  For  Glory”,  to  be  presented  on  the  NBC  Network  at  5  to 
5!30  P,M.  ,  EWT,  Saturday,  August  14.  This  weekly  feature  of  war  on 
the  home  front,  presented  by  the  National  Broadcasting  Company  in 
cooperation  with  the  U.  S.  Office  of  Civilian  Defense,  turns  this 
Saturday  to  Fort  Wayne,  Ind. ,  and  the  service  of  its  radio  amateurs 
during  the  flood  there  last  May. 


Station  WTRC,  Elkhart,  Indiana,  will  become  affiliated  with 
the  Blue  Network  as  a  basic  supplementary  station.  Effective  August 
23rd,  Station  WBLM,  Macon,  Georgia  and  effective  Sept.  19,  Station 
WGCM,  Gulfport,  Miss. ,  will  also  Join  the  Blue  Network, 


Beverly  (Bevo)  Middleton,  Sales  Manager  of  WABC,  will 
leave  August  80th  to  Join  the  Array.  John  H.  (Jack)  Field,  Jr,,  who 
joined  WABC  last  April  as  an  account  executive,  will  succeed  Mr. 
Middleton  as  Sales  Manager, 


Construction  of  the  new  WJZ  transmitter  at  Lodi,  New  Jersey, 
’flu  start  next  Wednesday,  August  18th,  at  12:00  noon,  when  Mark 
Woods,  President  of  the  Blue  Network  will  break  the  ground.  WJZ  will 
complete  its  new  transmitter  building,  and  will  reconstruct  its  640- 
foot  tower  which  will  go  into  operation  by  the  latter  cart  of  the  yea: 

XXXXXXXXX 
-  11  - 


Heinl  Radio  Business  Letter 

2400  CALIFORNIA  STREET  WASHINGTON,  D.  C. 


WTIOML  BROADCASTING  COMPANY  Kig. 

general  library 

M  ROCKEFEUER  puza,  NEVV  YORK,  Y. 


DEX  TO  ISSUE  OF  AUGUST  17,  1943 


Short-wave  Boners  May  Doom  What  Is  Left  Of  OWI . 

Weiss  Rebukes  Self-Appointed  New  Deal  Censor . 

FCC  N.Y.  Hearings  Continue  -  Flamm  Case  May  Come  Up.. 

Calls  It  The  "Cox  Persecution  Committee" . 

New  Policy  To  Keep  Up  Radio  Sets . 

Hearings  Of  Blue  Network  Sale  lAay  Be  Public . 

FCC  "Fear"  and  "Terrorism"  Exaggerations,  Fly  Charges 

Bankhead  Defends  U,  S.  Ads  In  Newspapers . 

Set  Makers  Post  War  Board  Initial  Meeting  Sept.  15... 

Silencing  "Undesirable  Broadcasters"  Proves  "Shock".. 
Rochester  Station  Asks  Court  Relief  From  Petrillo.... 

U.S.  Now  Has  Say-So  Over  Broadcast  Engineers . 

Paul  Porter  Goes  Step  Higher  As  Assistant  ESD . 

Radio  Encourages  Young  Americans  To  Write  Soldiers... 

Trade  Notes . 


..1 

. .  2 

.  ,3 

.  .4 

.  .5 
.  .5 

. .  6 

.  .7 

..8 

..9 
.  .9 

.10 

.10 

.10 

.11 


No,  1554 


August  17,  1943. 


SHORT-WAVE  BONERS  MAY  DOOM  WHAT  IS  LEFT  OF  OWI 


With  Representative  Ditter  (r),  of  Pennsylvania,  and  Repre¬ 
sentative  Barry  (b) ,  of  New  York,  on  the  warpath  and  others  in  Con¬ 
gress  sure  to  follow,  it  looks  as  if  what  was  left  of  the  Office  of 
War  Information  after  Congress  so  mercilessly  swung  its  axe  may  also 
be  a  goner.  It  seemed  to  be  the  idea  after  that  first  terrible  blow 
that  if  Elmer  Davis  could  be  eliminated  from  the  picture  temporarily 
by  having  him  take  a  little  trip  abroad,  things  would  quiet  down. 

And  they  probably  would  have  if  during  his  absence  the  Overseas  Branch 
hadn't  insulted  the  King  of  Italy  by  short-wave  -  the  most  colossal 
boner  in  the  history  of  diplomacy.  As  if  that  hadn't  been  enough, 
the  OWI  ideologists  later  followed  througli,  in  the  words  of  Repre¬ 
sentative  Ditter,  "by  browbeating  the  radio  industry  into  deluging 
the  American  public  with  distorted  propaganda  about  the  Atlantic 
Charter  anniversary". 

This  touched  off  the  critics  anew,  "It  is  not  merely  the 
brazen  effrontery  of  the  Office  of  War  Information  that  is  causing  so 
much  concern",  George  Rothwell  Brown,  one  of  the  best  known  of  the 
Capital  correspondents  wrote  in  the  Washington  Times-Herald.  "It  is 
the  increasing  evidence  of  its  unreliability,  the  unsoundness  of  its 
philosophy,  its  disregard  of  truth,  and  its  lack  of  sound  Judgment 
that  is  developing  a  strong  feeling  in  Congress  that  it  should  be 
completely  reorganized,  even  to  the  point  of  abolishment, 

"Whether  Elmer  Davis  can  continue  to  hold  it  together  much 
longer  through  the  personal  prestige  which  he  still  maintains  is 
problematical, 

"The  'moronic  little  king'  incident  has  been  followed  by 
others  even  more  disquieting, 

"During  the  period  of  Mr.  Davis'  absence  abroad  OWI  appears 
to  have  got  completely  out  of  hand.  Under  date  of  August  2,  John 
Hymes,  Chief  of  the  Stations  Relations  Section  of  the  Domestic  Radio 
Bureau,  Issued  an  official  request  to  war  program  managers  to  bally¬ 
hoo  the  second  anniversary,  so  called,  of  Atlantic  Charter  Day'  -  a 
*  da.y'  incidentally,  which  has  no  more  existence  than  John  Durfee, 

OWI^s  fraudulent  'Voice  of  America', 

"This  communication  to  the  war  progran  managers  was  predi¬ 
cated  on  a  bare-faced  falsehood  so  serious  as  to  impugn  the  general 
veracity  of  this  Government  propaganda  agency.  That  falsehood  -  as 
T.  R.  would  have  said,  it  would  even  be  possible  to  use  a  'shorter  and 
uglier  word',  was  as  follows: 

"'The  Atlantic  Charter  has  been  formally  adopted  by  all 
the  United  Nations  and  thus  has  become  the  most  Important  single  docu¬ 
ment  in  setting  forth  the  principles  for  which  we  are  fighting, * 


1 


8/17/43 


"The  deception  here  must  have  been  deliberate.  It  con¬ 
stitutes  an  obvious  effort  to  ' pe rsu'deie '  radio  commentators  to  promul¬ 
gate  an  untrue  statement.  The  Atlantic  Charter,  so  called,  has  not 
been  formally  adopted  by  all  the  United  Nations.  In  particular  it  has 
I  not  been  adopted  by  the  United  States.  It  could  not  be  ‘adopted*  by 
the  United  States  without  the  consent  of,  the  Senate.  It  has  not  even 
been  submitted  to  the  Senate. 

"The  Atlantic  Charter  is  not  even  a  charter.  It  is  merely 
the  expression  of  a  plus  hope  by  two  of  the  world's  most  brilliant 
politicians,  Mr.  Roosevelt  and  Mr.  Churchill,  It  has  a  political 
purpose  and  a  political  use,  but  it  is  not  an  official  document.*  *  * 

"Before  the  Cox  Committee,  in  New  York,  allegations  have 
been  made  of  a  tieup  of  OWI  and  the  Federal  Communications  Commission 
that  reveal  an  attempt  to  control  radio  through  the  hiring  and  firing 
of  foreign  broadcasters  with  the  desired  ideological  'slant*. 

"OWI  needs  a  thorough  going-over  by  Congress.  It  has 
1  embarrassed  the  President,  It  has  embarrassed  the  State  Department. 

We  shall  be  lucky  if  it  has  not  embarrassed  the  British  government, 

"From  information  available  here,  it  is  clearly  indicated 
that  if  Mr,  Davis  does  not  do  a  Job  on  OWI,  and  pronto.  Congress  will" 

gt  XXXXXXXX 

WEISS  REBUKES  SELF-APPOINTED  NEW  DEAL  CENSOR 

il 

George  Myers,  secretary  of  the  Los  Angeles  County  Democratic 
Committee  is  evidently  a  little  wiser  than  before  he  encountered  Lewis 
Allen  Weiss,  Vice-President  and  General  Manager  of  the  Don  Lee  Broad¬ 
casting  System,  Mr.  Lilyers  advised  Mr.  Weiss  that  the  Committee  had 
passed  a  resolution  taking  cognizance  of  the  fact  that  many  commen- 
tators  were  critical  of  President  Roosevelt  and  the  New  Deal,  Fur¬ 
thermore,  the  resolution  set  forth  that  such  broadcasts  were  made 
possible  by  sponsors  who  were  able  to  ourchase  the  best  time  on  the 
aid  and  that  the  Los  Angeles  Democratic  Committee  proposed  to  "dis¬ 
seminate  Information"  about  these  critical  commentators  in  a  letter 
to  sponsors.  There  was  also  a  complaint  about  alleged  misstatements 
Fulton  Lewis,  Jr.  had  been  making. 

.  _  Mr.  Weiss,  replying  to  the  Committee,  wrote,  in  part: 

•'Hu 

"Upon  receipt  of  the  letter  to  the  sponsors,  I  became  aware 
of  the  device  that  your  Committee  evidently  intends  to  employ  by 
Intimidating,  if  you  can,  all  personalities  on  the  air  who  do  not 
j  happen  to  hold  the  same  political  beliefs  that  you  do,  I  need  hardly 
j  point  out  to  you  how  undemocratic  and  even  brazen,  the  implications 
;  of  your  communications  are,  and  do  not  believe  that  it  would  redound  , 
i  to  the  credit  of  your  Committee  if  I  were  to  expose  the  threats  of 
I  free  speech  contained  in  them.  " 


xxxxxxxxxxx 

—  2  — 


8/17/43 


FCC  N.Y.  HEARINGS  CONTINUE  -  FLAMM  CASE  MAY  COI^  UP 


There  is  every  Indication  tha,t  the  subcommittee  hearings  of 
the  House  FCC  Investigation  in  New  York,  which  were  only  expected  to 
’  last  a  few  days  but  are  now  entering  their  third  week  in  New  York, 
may  continue  even  longer.  No  one  in  the  office  of  Chairman  Eugene 
Cox,  of  Georgia,  at  the  Capitol,  would  venture  an  opinion  as  to  when 
the  sessions  might  be  resumed  in  Washington  but  it  was  said  there 
i  was  a  possibility  of  a  sub-committee  meeting  here  if  the  New  York 
I  proceedings  had  not  finished  by  that  time,  a  week  from  Wednesday 
i  (August  25). 

It  is  believed  sensational  ciiarges  may  be  made  at  the  New 
York  hearing  in  connection  with  the  proposed  sale  of  WMCA  by  Edward 
J.  Noble,  whose  purchase  of  the  Blue  Network  has  necessitated  his 
disposing  of  WMCA  so  as  not  to  have  two  stations  in  New  York  City, 

Mr,  Noble  purchased  the  station  from  Donald  Flamm,  Last  week  Mr. 

Flamm  brought  an  action  in  the  State  Supreme  Court  to  rescind  the 
sale  of  WMCA  in  1941. 

Mr.  Flamm,  who  received  $850,000  for  the  property,  sold 
January  17,  1941,  charged  he  "was  an  unwilling  seller  and  was  coerced 
by  various  threats  on  the  part  of  defendant  and  his  agent  into  agree¬ 
ing  to  the  sale."  Mr.  Flamm  not  only  wants  the  station  returned  to 
him,  but  he  is  asking  for  an  accounting  of  the  profits,  explaining 
he  Incurred  $800,000  expenses  in  the  negotiations. 

Motion  for  a  temporary  injunction  was  heard  Friday  when 
Supreme  Court  Justice  David  Peck  granted  a  stay  order  until  a  deci¬ 
sion  is  handed  down  probably  this  week.  Regardless  of  how  the  Court 
decides  the  Flamm  case  will  probably  be  made  a  Roman  holiday  in  the 
Cox- FCC  investigation  with  plenty  of  charges  made  by  all  parties 
concerne  d. 

There  was  a  lively  time  in  New  York  last  week  when  Chairman 
Fly,  who  "just  happened  to  be  there”  and  still  not  given  an  opportun¬ 
ity  to  testify,  answered  charges  made  at  the  hearings  by  Issuing 
statements  to  the  press  but  at  the  same  time  charging  the  opposition 
with  "trying  their  case  in  the  newspapers”.  • 

The  principal  bone  of  contention  was  the  FCC  War  Problems 
Division,  Mr,  Fly  asserting  it  had  been  discontinued,  and  Eugene  L, 
Garey,  Cox  Congressional  Committee  attorney,  declaring  it  "has  been 
changed  in  no  way  except  in  name". 

^  Mr.  Fly  told  an  interviexver  that  the  Division  existed  for 

I  about  a  year  and  was  discontinued  about  six  months  ago  "largely 
because  some  members  of  the  House  questioned  it,  "  He  added  that 
r  "there  may  have  been  some  feeling  against  two  or  three  members  of  the 
-  Division,  ” 

1,  ■ 

'  Mr.  Carey,  at  his  law  office,  later  said  that  functions  of 

1  the  Division,  dealing  with  supervision  of  foreign  language  radio  sta- 
j  tions  in  the  United  States,  "are  still  being  carried  on.  No  change 
I  has  been  made  except  in  name,  ” 


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8/17/43 


The  War  Problems  Division  entered  the  testimony  at  the  sub¬ 
committee  hearing  when  Robert  K.  Richards,  Executive  Assistant  for 
Broadcasting  in  the  Office  of  Censorship,  said  that  ’’broadcasters 
who  have  talked  to  me  fear  mainly  one  division  of  the  FCC.  " 

"The  War  Problems  Division?"  Mr.  Oarey  asked  him. 

Mr.  Richards  replied  affirmatively. 

The  House  subcommittee  recessed  over  the  weekend  but  are 
scheduled  to  resume  the  New  York  hearings  today  (Tuesday). 

XXXXXXXX 


CALLS  IT  THE  "COX  PERSECUTION  COMMITTEE" 


Taking  another  swat  at  Representative  Eugene  Cox,  of 
Georgia,  Drew  Pearson,  widely  syndicated  columnist,  writes: 

"Congressman  Cox’s  spite  Investigation  of  the  Federal  Com¬ 
munications  Commission  continues  to  reach  amazing  lengths  in  flout¬ 
ing  established  legal  procedure.  Latest  flouting  of  the  law  is  to 
cross-examine  witnesses  without  any  member  of  the  Cox  Committee  pre¬ 
sent. 


"Actually,  a  Congressional  investigation  is  supposed  to  be 
what  it  says  -  an  investigation  by  Congress.  Congressional  members 
of  a  committee  are  supposed  to  be  present  and  do  the  Job  themselves. 
But  since  other  members  of  the  Cox  Committee  apparently  regard  this 
as  a  personal  vendetta  by  Cox  against  the  FCC  (the  FCC  accused  him 
of  taking  an  illegal  lobbying  fee),  they  don't  come  around  to  many 
hearings. 


"The  other  day,  for  instance,  Luclen  Hllmer,  former  Assist¬ 
ant  General  Counsel  of  the  FCC,  was  called  before  the  alleged  Cox 
Committee.  Fnen  he  arrived,  he  found  two  paid  minions  of  the  com¬ 
mittee,  Fred  Walker  and  Ernest  Hauser,  but  no  Congressmen.  So  when 
they  attempted  to  give  him  the  oath,  Hilmer  refused. 

"'This  subpena  is  returnable  before  a  committee  of  Congress', 
he  said,  'and  no  Congressman  is  present, ' 

"So  after  some  embarrassed  telephoning,  Chairman  Cox  arrived. 
He  tried  to  make  Hilmer  swear  that  he  would  tell  the  truth  to  the 
’Committee  or  its  agents',  but  again  Hilmer  refused.  He  pointed  out 
that  he  was  supposed  to  testify  before  the  committee,  not  before  its 
agents. 

"So  Cox  finally  gave  him  the  correct  oath,  and  sat  for  a  few 
minutes  while  Hilmer  testified.  Then  apparently  bored  with  his  own 
inquisition,  the  little  G-eorgia  Congressman  departed, 

"As  soon  as  he  stepped  out  of  the  room,  Hilmer  stopped 
testifying.  So  after  more  scurrying  and  telephoning.  Congressman 


-  4  - 


8/17/43 


NEW  POLICY  TO  KEEP  UP  RADIO  SETS 


A  policy  to  maintain  radios,  automobiles,  refrigerators  and 
other  electrical  appliances  "essential"  to  the  civilian  economy,  was 
indicated  in  the  tentative  program  for  production  of  essential  con¬ 
sumer  goods  presented  by  WPB,  Arthur  D,  Whiteside,  Vice  Chairman  of 
the  Office  of  Civilian  Requirements,  advised.  No  details  as  to  addi¬ 
tional  goods  which  may  be  authorized  for  manufacture,  however,  were 
indicated,  the  Radio  Manufacturers’  Association  reports.  Among  the 
basic  policies  announced  were; 


"Adequate  repair  parts,  replacement  parts  and  labor  must  be 
made  available  to  maintain  existing  essential  equipment  in  the  hands 
of  civilians  in  operating  condition. " 

"The  distributive  and  service  trades  must  be  maintained  to 
j  the  extent  necessary  to  make  essential  goods  and  services  available  to 
civilians  when  and  where  needed. 

"Every  effort  will  be  made  to  economize  the  use  of  resources 
and  to  conserve  the  goods  now  in  civilian  hands. " 

"The  emphasis  on  distribution  will  be  substantially  increas¬ 
ed",  was  another  policy  announced,  indicating  that  OCR  has  not  solved 
the  difficult  problem  of  distribution  so  that  consumers  in  all  local¬ 
ities  will  have  a  proportionate  share  of  scarce  items,  and  it  was 
stated  that  a  principal  problem  facing  OCR  was  ’inadequate  distribu¬ 
tion  of  scarce  goods',  as  well  as  manpower  and  shortage  of  critical 
materials. " 

xxxxxxxx 


HEARINGS  OF  BLUE  NETWORK  SALE  MAY  BE  PUBLIC 

1 


It  was  intimated  by  Chairman  James  L.  Fly  that  the  Federal 
Communications  Commission  hearings  to  be  held  before  the  sale  of  the 
Blue  Network  to  Edward  J,  Noble  are  approved  would  probably  be  public. 
Mr.  Fly  said  he  couldn't  speak  for  the  whole  Commission  in  the  matter 
but  the  Blue  Net  sale  was  of  such  importance  that  it  wouldn' t  surprise 
him  if  there  would  be  a  complete  public  record  of  it. 

Mr.  Fly  said  the  question  of  whether  or  not  there  would  be 
a  public  hearing  might  be  decided  at  the  regular  FCC  hearing  today 
(Tuesda.y). 


XXXXXXXX 

The  New  York  Fire  Department  has  set  a  precedent  by  appoint 
ing  two  women  as  radio  operators  at  the  Fire  Department  Station  WNYF. 
Their  duties  will  be  to  get  in  contact  with  fire boats,  rescue  compan¬ 
ies  and  to  keep  in  touch  with  all  branches  of  the  department  and 
broadcast  all  developments. 

XXXXXXXX 

-  5  - 


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..  ..  ..  y 

~  p.  ^ 


8/17/43 


FCC  "FEAR”  AND  ’’TERRORISM”  EXAGGERATIONS,  FLY  CHARGES 


Fresh  from  the  scene  of  his  guerrlla  warfare  vrith  the  Cox 
FCC  Investigating  Corainittee  in  New  York,  where  he  was  on  the  outside 
looking  in,  Chairman  James  L,  Fly  of  the  Federsl  Communications  Com¬ 
mission  at  his  press  conference  Monday  in  Washington  continued  to 
talk  back  to  Representative  Cox  and  his  associates.  Congressional 
Committee,  or  no  committee,  Mr.  Fly  said,  the  FCC  was  going  to  keep 
an  eagle  eye  on  the  foreign  language  broadcasting  stations.  He  re¬ 
iterated  that  the  War  Problems  Division,  which  was  charged  with  throw¬ 
ing  announcers -objectionable  to  the  Government  off  the  air,  was  no 
longer  in  existence  but  said  with  considerable  emphasis  that  the  Com¬ 
mission  s  till  is. 

”We  have  in  the  monitoring  of  foreign  language  stations  a 
duty  to  which  we  shall  devote  ourselves”.  Chairman  Fly  said.  ”I 
think  the  charges  of  ’fear'  and  'terrorism'  in  the  broadcasting 
industry  raised  by  the  Cox  Committee  seem  to  ha.ve  sprung  from  the 
exaggerated  description  of  this  foreign  language  station  scrutiny. 
Anybody  who  knows  anything  about  the  Industry  or  the  Commission  knows 
that  the  average  broadcaster  has  not  the  slightest  ground  for  worry¬ 
ing  about  having  his  license  taken  away  from  him. ” 

Mr,  Fly  said  he  had  been  Chairman  of  the  FCC  for  almost 
four  years  and  not  a  single  station  had  ever  been  off  the  air  on 
account  of  its  program. 

Someone  asked  if  the  Chairman  meant  by  that,  general  approv¬ 
al  of  the  programs  of  all  900  stations. 

"No,  I  did  not  mean  to  say  that  I  approve  all  program  con¬ 
tent”,  Mr.  Fly  answered.  "It  is  not  up  to  me  to  say  that  I  approve 
of  the  program  content  and  in  general  it  is  not  up  to  me  to  disapprove 
it.  I  think  there  are  many  cases  where  the  quality  of  the  program 
can  be  improved.  I  think  the  industry  in  the  interests  of  its  own 
welfare  has  in  recent  months  devoted  considerable  attention  to  that 
very  program  of  notching  up  the  level  of  the  programs.  That,  of 
course,  is  their  Job  and  not  mine,  ” 

To  a  question  as  to  when  the  Cox  Committee  might  conclude 
its  hearings  in  New  York  brought  the  Communications  czar  retort  that 
ke  had  no  word  from  the  Cox  Committee  and  never  had  any  word  from 
them  giving  him  any  information.  All  he  knew  about  the  hearings  was 
what  he  read  in  the  papers, 

"in  New  York  while  the  Congressional  subcommittee  hearings 
were  going  on,  the  Associated  Press  called  up  mentioning  some  facts 
which  had  been  referred  to  in  my  press  conference  the  day  before", 

Mr.  Fly  said,  "They  wanted  to  know  why  those  matters  have  not  been 
cleared  up  in  the  hearing.  They  said  that  it  would  take  only  a  few 
minutes  to  put  in  these  facts  and  documents,  etc, ,  and  why  weren't 
ikey  cleared  up  at  the  time  of  the  hearing.  I  was  a  little  bit  shock- 
'^^at  there  was  anyone  connected  with  the  news  services  following 
this  that  did  not  completely  understand  that  we  have  not  had  a  chance 


6 


K’i  O 


8/17/43 


to  put  In  a  word  or  a  document.  In  fact  that  was  one  of  the  main 
points  I  tried  to  cover  before  -  there  was  no  opportunity  for  any 
sort  of  hearing.  That's  one  thing  that  is  most  discouraging  about 
the  whole  procedure." 

Asked  if  he  thought  the  FCC  would  ever  have  a  chance  to  give 
Its  side,  the  reply  was: 

"I  am  very  discouraged  about  the  whole  business.  So  long 
as  they  are  willing  to  follow  the  practice  of  letting  their  counsel 
read  one  paragraph  of  a  letter  and  not  putting  the  balance  of  the 
letter  into  the  record  at  that  time;  so  long  as  they  take  these  star 
chamber  records  and  read  four  lines  from  them  into  the  record  and 
refuse  to  put  the  balance  of  it  in,  and  in  no  case  permitting  us  to 
see  the  balance  of  the  document  or  the  balance  of  the  transcript  of 
the  star  chamber  proceedings,  and  when  they  put  in  one  letter  refus¬ 
ing  to  take  the  response  to  that  letter  when  the  response  clears  up 
the  whole  matter  -  that  sort  of  proceeding  as  is  carried  on  from  day 
to  day  -  you  can't  look  forward  very  optimistically  for  any  hearings 
at  all,  and  certainly  there  is  no  prospect  of  one  in  the  near  future. 
If  there  were  any  desire  at  all  to  g et  the  full  facts,  the  time  to 
get  a  letter  is  the  very  time  when  the  few  lines  are  read  into  the 
record  from  that  letter, " 

Asked  if  letters  received  by  the  Commission  about  the  Cox 
hearings  were  favorable  or  otherwise,  Mr.  Fly  replied; 

"I  think  consistently  so.  Particularly  since  the  Committee 
has  so  publicly  and  recurrently  demonstrated  the  attitudes  and  methods 
1  which  are  going  to  control  the  Committee  throughout, " 

xxxxxxxx 


BANKHEAD  DEFENDS  U.  S.  ADS  IN  NEWSPAPERS 


j  There  was  a  lively  defense  of  the  bill  for  the  Government  to 

i  spend  125,000, 000  in  newspaper  advertising  by  its  co-author  Senator 
John  H.  Bankhead  of  Alabama,  There  is  a  belief  if  this  bill  were 
;  passed  the  next  move  would  be  to  vote  a  similar  subsidy  to  radio  sta- 
1  tions. 

i 

"It  seems  strange  that  some  people  believe  that  advertise¬ 
ments  sponsored  and  paid  for  by  business  corporations  do  not  threaten 
i  the  Independence  of  the  press',  he  said,  'but  that  paid  advertlse- 
I  ments  by  the  Government  create  a  terrible  menace.  That  position  is 
absurd",  Senator  Bankhead  declared. 

"Corporations  ere  in  a  position  to  select  the  newspapers 
from  whom  they  buy  space  and  to  withhold  future  advertisements  if  the 
editorial  attitude  of  a  newspaper  does  not  suit  them",  he  said,  "Un¬ 
der  the  Bankhead- Cannon  bill  the  Treasury  has  no  discretion  about 
placing  or  withholding  advertisements, 

"The  Treasury  must  allocate  advertisements  under  regulations 
prescribed  in  cooperation  with  representatives  of  newspaper  associa¬ 
tions  and  advertising  agencies, " 

XXXXXXXXX 


7  - 


8/17/43 


SET  MAKERS  POST  WAR  BOARD  INITIAL  MEETING  SEPT.  15 


Final  arrangements  have  been  made  by  the  Institute  of  Radio 
Engineers  and  the  Radio  Manufacturers’  Association  for  a  conference  of 
the  Joint  committee  to  consider  postwar  radio  products  and  services. 

It  is  to  be  known  as  the  Radio  Technical  Planning  Board  and  the  meet¬ 
ing  will  be  held  in  New  York  City  Wednesday,  September  15th, 

The  "R.T.P.B.”  will  be  a  technical  advisory  body  to  formu¬ 
late  recommendations  to  the  Federal  Communications  Commission  and 
other  government  and  industry  agencies  on  the  technical  future  of 
radio  developments,  including  spectrum  utilization  and  systems 
standardization  for  many  public  services,  such  as  television  and 
frequency  modulation.  The  new  group  will  develop  studies,  investi¬ 
gations,  recommendations  and  standards  as  are  required,  submitting 
them  to  the  FCC  and  other  agencies  having  final  authority. 

Chairman  James  L,  Fly  of  the  FCC  originally  prooosed  the 
Industry  technical  organization  now  being  established.  The  R.T.P.B. 
will  be  a  representative,  all-industry  body.  Initial  sponsors,  in 
addition  to  RTvlA  and  I.R.E.,  now  being  invited  to  participate  in  its 
organization  meeting,  include: 

American  Institute  of  Electrical  Engineers,  American 
Institute  of  Physics,  American  Radio  Relay  League,  F.M.  Broadcasters, 
Inc.,  National  Association  of  Broadcasters,  National  Independent 
Broadcasters. 

Other  major,  non-profit  radio  organizations,  as  well  as 
communications,  aeronautical  and  similar  groups  concerned  also  may  be 
included  later. 

The  respective  "EMA  and  IRE  Chairmen  are  A.  S.  Wells,  of 
Chicago,  and  Haraden  Pratt,  of  New  York,  who  now  are  submitting  the 
plans  to  other  industry  groups  prior  to  the  formal  September  15th 
meeting. 


The  other  members  of  the  'BIAA  Committee  are  H,  C,  Bonflg, 
Camden,  N.  J,  ;  W,  R.  G,  Baker,  Bridgeport,  Conn.;  R,  C.  Cosgrove, 
Cincinnati,  Ohio;  Walter  Evans,  Baltimore,  Md,  and  Fred  D.  Williams, 
Philadelphia,  Pa.  The  other  members  of  the  IRE  Committee  are  Alfred 
N.  Goldsraitn,  New  York,  N.  Y, ;  B.  J.  Thompson,  Princeton,  N,J.,  and 
H.  M.  Turner,  New  Haven,  Conn, 

xxxxxxxx 

The  Columbus  (Ohio)  Pi spa tch  has  inaugurated  a  new  15- 
mlnute  radio  program.  Its  purpose  is  to  broadcast  a  preview  to 
Columbus  and  Central  Ohio,  of  the  food  pages  appearing  in  The  Dis¬ 
patch  Friday  editions.  The  announcement  says: 

"Local  radio  support  is  the  most  recent  addition  to  services 
offered  advertisers  who  use  The  Dispatch  exclusively. " 

XXXXXXXXX 

-  8  - 


8/17/43 


SILENCING  "UNDESIRABLE  BROADCASTERS"  PROVES  "SHOCK" 


Expressing  its  opinion  of  disclosures  of  the  Cox  Committee 
New  York  hearings,  the  Editor  &  Publisher  said: 

"Disclosure  that  officials  of  the  Federal  Communications 
Commission  and  the  Office  of  War  Information  used  the  former's  licens¬ 
ing  powers  as  a  means  of  shutting  out  'undesirable'  broadcasters 
should  be  read  with  a  sense  of  angry  shock,  called  by  its  right  name 
and  prevented  for  all  future  time.  The  admission  by  one  official 
that  the  tactics  were  'extra-legal'  and  that  he  had  to  wrestle  with 
his  conscience  to  accept  them  is  Just  so  much  chatter.  The  tactics 
were  not  extra-legal,  they  were  plainly  illegal,  violating  a  specific 
dictum  of  Congress, 

"It  is  intolerable  that  appointed  minor  officials  should 
assume  the  power  of  final  Judgment  over  the  utterances  of  radio 
speakers.  If  broadcast  statements  are  treasonable,  the  law  provides 
measures  for  dealing  with  them.  If  they  are  subversive  or  harmful  to 
the  national  interest  we  have  war  time  statutes  which  can  be  readily 
invoked.  Neither  of  these  smacks  of  the  near  blackmail  which  is 
implicit  in  the  methods  freely  admitted  in  testimony  before  the  House 
committee, 

"Press  and  radio  should  stand  as  one  on  this  issue.  If 
one  government  underling  can  assume  and  get  awry  with  the  power  of 
gagging  a  radio  speaker,  we  can  be  sure  that  others  will  try  the  same 
schemes  in  other  directions.  The  postal  regulations  by  which  a  number 
of  publications  have  been  silenced  are  already  a  danger  to  free  pub¬ 
lication;  let  them  be  administered  in  the  manner  described  before  the 
Cox  Committee  this  week,  and  the  menace  to  free  Journalism  will  be 
positive  and  constant.  " 


xxxxxxxx 


ROCHESTER  STATION  ASKS  COURT  RELIEF  FROM  PETRILLO 


Station  WSAY  at  Rochester,  N.  Y. ,  has  turned  to  the  courts 
to  regain  its  Mutual  net  programs.  The  station  petitioned  for  an 
injunction  against  Petrillo  and  Leonard  Campbell,  presidents,  res¬ 
pectively  of  the  A. F.  M.  and  Rochester  Musicians  Protective  Associa¬ 
tion,  seeking  to  restrain  them  from  pressuring  Mutual  to  prevent  the 
net  from  supplying  the  programs.  The  petition  was  scheduled  for 
Supreme  Court  hearing  Thursday  (12), 

It  charges  unlawful  interference  with  the  station's  busi¬ 
ness.  It  declares  the  station's  owner,  Gordon  P,  Brown,  is  willing 
to  hire  musicians  whenever  needed  at  union  rates,  but  he  is  unwilling 
to  hire  unneeded  musicians.  The  union  asked  that  he  hire  a  five- 
piece  orchestra. 


8/17/43 


U.S.  NOW  HAS  SAY-SO  OVER  BROADCAST  ENGINEERS 


Broadcast  engineers  were  the  only  ones  in  the  industry 
Included  in  the  critical  list  issued  by  the  War  Ifennower  Commission 
and  Selective  Service  last  Sunday.  Otherwise  radio’s  classification 
as  an  essential  industry  remains  unchanged. 

Broadcast  engineers  will  have  to  be  engaged  through  the 
U,  S.  Employment  Service  and  other  radio  personnel  will  be  forzen 
Into  their  Jobs  when  regional  and  local  stabilization  agreements  are 
adjusted  to  coranly  with  the  new  regulations, 

XXXXXXXa 


PAUL  PORTER  GOES  STEP  HIGHER  AS  ASSISTANT  ESD 


Paul  A.  Porter,  formerly  counsel  for  the  Columbia  Broad¬ 
casting  System  in  Washington,  has  been  made  Assistant  to  Fred  M, 
Vinson,  Economic  Stabilization  Director.  Recently  OPA  Chief  of  Rent 
Control,  he  was  boosted  to  chief  aide  of  Marvin  Jones.  In  connection 
with  the  last  promotion,  a  well-informed  person  observed; 

’’The  real  food  czar  is  now  Paul  Porter,  who  has  Joined  the 
White  House  staff. ” 


xxxxxxxx 

RADIO  ENCOURAGES  YOUNG  AIvE RICANS  TO  WRITE  SOLDIERS 


An  article  in  Liberty  ^''^agazlne  captioned”  A  Million  Kids 
Take  pen  in  Hand”,  says: 

"Upon  her  return  to  America  after  four  and  a  half  months 
in  the  North  Africa  war  theater,  Martha  Raye,  of  motion-picture  fame, 
declared,  'The  troops’  only  complaint  was  that  they  didn’t  get  enough 
letters  from  home.  That's  what  they  want  most.’  If  letters  from  home 
are  what  our  fighting  men  want,  1,200,000  American  kids  are  going  to 
see  that  they  get  them’ 

"A  few  months  ago  Jack  Armstrong,  the  redoubtable  All- 
American  Boy,  who  may  be  heard  on  your  Blue  Network  station  any  week¬ 
day  afternoon,  organized  the  Wrlte-A-Fignter  Corps.  At  present  it 
boasts  amerabership  of  more  than  1,200,00C  boys  and  girls  between  the 
ages  of  six  and  sixteen.  The  Corps  has  grown  with  a  snowball- down- 
bill  impressiveness,  and  ranges  from  coast  to  coast  and  border  to 
border.  " 


XXXXXXXXX 


10  - 


T'  '  ,?  ’“.T" 

■  .>  •  i:  'i  . 


:  {  '■  .•  -  -r. 


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;  J'nr>  i','’:  i.  '’J  ^  .(  ■  •■ 

!  i'r;:;. ’T  '.tf- -;:::  Hv  w!  oar;  ,.'o  JAVi-  i-'i  o:'  r;..;r 

.  ••  .'  '.  •  'n  j'-'of  ,  ‘  ij -v:i-,ia  .jr.  ;■'  u.M  '  o'; 

‘  7  -jC  lai:..' a  or. 

■  •  );  ■  ■  -  0  .:’  ■  a  ,  aai  Jv.-';' ’-o  ; 

,  ■  ■  '■' •  '  '  r-  '  '.i  rot-'O  r  a.aV’ 


a  :  rc  a  .. 


X  X 


8/17/43  - 


TRADE  NOTES:;: 


Speaking  of  poat-war  developments,  Senator  Harry  S.  Truman 
(D),  of  Missouri,  had  this  to  say  of  television: 

’’Television  is  on  the  threshold  of  great  development.  It 
is  true  that  there  are  many  technical  and  commercial  difficulties 
which  must  still  be  overcome.  But  the  day  cannot  be  far  off  when  our 
nomes,  schools  offices  and  automobiles  will  be  equipped  with  televi¬ 
sion  sets.  ’* 


Majestic  Radio  and  Television  Corporation  -  Year  to  May  31: 
Net  income  $394,430,  Or  37  cents  each  on  925,715  common  shares  in 
contrast  to  net  loss  of  $51,518  in  previous  fiscal  year. 


Station  KFMB,  San  Diego,  California,  will  become  affiliated 
I  with  the  Blue  Network  on  September  1,  as  the  San  Diego  outlet,  replac- 
I  ing  Station  KFSD, 


i  Walter  E,  Schneider,  Associate  Editor  of  Editor  and  Publish¬ 

er,  will  join  the  NBC  press  staff  September  1,  as  Magazine  Editor, 


Western  Union  informed  the  Federal  Communications  Commission 
that  all  ’’unnecessary  duplicating  branch  offices  and  tributary 
I  offices”  will  be  consolidated  if  the  pending  plan  for  merging  its 
I  system  with  Postal  Telegraph  is  approved, 

A  new  book  is  ’^Radio  Networks  and  the  Federal  Government” 
i  by  Dr.  Thomas  Porter  Robinson,  published  by  Columbia  University  press, 

I  $3,  Dr.  Robinson  is  an  economist  at  present  connected  with  the 
Office  of  Price  Administration, 


A  new  line  of  two-bearing  (ball),  3600-rpra  motor-alternator 
I  sets  in  Integral  ratings  up  to  5  kva,  single-phase^,  has  been  announc- 
,  ed  by  the  Motor  Division  of  the  General  Electric  Company.  Compact 
and  light  in  weight,  these  alternator  sets  are  designed  for  convert¬ 
ing  direct  current  to  alternating  current  for  various  uses.  These 
include  any  applications  which  require  a-c  power,  such  as  radio  and 
other  electronic  equipment  of  standard  a-c  "design. 


At  the  head  of  the  editorial  column  of  the  Westmoreland 
Observer,  a  weekly  newspaper  published  in  Westmoreland  County,  Pa, , 
tnis  slogan  appears: 

’’Get  your  news  from  the  radio 
Get  your  ideas  from  us.  " 


Station  W6XYZ,  Television  Productions,  Inc.,  Los  Angeles, 
Calif,  ,  Was  granted  license  to  cover  construction  permit,  as  modified, 
which  authorized  new  experimental  television  broadcast  station, 

XXXXXXXX 


11 


Heinl  Radio  Business  Letter 


2400  CALIFORNIA  STREET 


WASHINGTON,  D.  C. 

KtCElVhD 


^atiohal 

geni 

dockefelub 


n»zA, 


AUG  2'-  1943 

FRA^K  E.  WULLEN 


INDEX  TO  ISSUE  OF  AUGUST  SO,  1943 


G.O.P.  To  Fight  To  Get  Its  Side  To  Soldiers  By  Radio . 1 

Army  Needs  And  Will  Buy  Civilian  Ra.dlo  Equipment . 2 

Weiss  Political  Censorship  Fight  Attracts  Wide  Notice . 3 

Radio  To  Play  Important  Part  In  Capital  War  Exhibit . 4 

Broadcasters  Would  Re- Define  FCC's  Power . 

Fly  Gets  More  Publicity  Than  If  Allowed  To  Testify 


FCC  Sets  Sept.  10  For  Public  Hearing  On  Blue  Net  Sale., 

Charges  Ohio  Station  Used  Smith- Co nnally  Act  To  Censor, 
Claims  FCC  Gave  License  Only  When  2  Announcers  Fired.., 


FTC  Cites  Another  Short-Wave  Diathermy  Concern . . . 9 

Trade  Notes . 10 


No,  1555 


LO  lO  C-  CD  OD 


s 


G.O.P.  TO  FIGHT  TO  GET  ITS  SIDE  TO  SOLDIERS  BY  RADIO 


It  has  been  learned  that  Harrison  E.  Spangler,  Chairman 
of  the  Republican  National  Committee  and  his  colleagues  will  put 
up  tte  biggest  kind  of  a  fi^t  to  combat  the  fourth  terra  short-wave 
radio  campaign  among  the  soldiers.  The  necessity  for  this  was 
brought  home  to  the  Republicans  by  President  Roosevelt's  recent  out¬ 
line  of  post-war  benefits  for  service  men.  The  War  Department  ex¬ 
plained  that  only  200  words  of  the  speech  were  broadcast  to  the 
soldiers  but  the  Republicans  quickly  countered  by  asserting  that 
these  200  words  covered  the  President's  program  of  aid  for  the 
soldiers  when  they  are  mustered  out.  Chairman  Spangler  made  a  heat¬ 
ed  protest  but  up  to  now  it  apparently  has  gone  unheeded.  The 
Republicans  obviously  were  caught  napping  and  in  some  confusion  but 
campaign  strategy  with  regard  to  reaching  the  boys  by  radio  in  tiie 
future  in  whatever  part  of  the  world  they  may  be  will  be  one  of  the 
important  topics  of  discussion  when  the  Republican  Postwar  Policy 
Advisory  Council  meets  at  K4ackinac  Island,  Mich.  ,  Monday,  September 
6th. 


This  may  even  be  one  of  the  subjects  Included  by  Mr, 

Spangler  in  his  address  which  will  be  broadcast  over  the  NBC  and 
possibly  other  networks  when  the  Mackinac  convention  opens. 

When  queried  about  the  demand  of  Mr.  Spangler  that  he  be 
allowed  to  answer  President  Roosevelt,  Elmer  Davis  passed  the  buck 
by  saying  that  broadcasting  to  troops  is  now  in  the  hands  of  the 
Army,  Secretary  Stimson,  himself  a  Republican,  as  yet,  however, 
has  not  only  refused  to  make  amends  for  the  President's  alleged 
fourth  term  appeal  to  the  soldiers,  but  has  kept  mum  as  to  what  might 
happen  if  another  such  speech  were  made.  Nor  has  Secretary  of  the 
Navy  Knox,  also  in  a  strategic  position  with  regard  to  overseas  com-* 
munications,  and  himself  likewise  a  Republican,  been  heard  from. 

Newspaper  commentators  in  the  meantime  have  kept  the  pot 

boiling. 


"The  episode  excited  much  political  acrimony",  Mark  Sulli¬ 
van  wrote,  "This  acrimony  will  recur  ’"hen  the  President  makes  his 
next  radio  address.  And  it  will  recur  with  especial  bitterness  if 
and  when  the  President  becomes  a  candidate  for  a  fourth  terra, 

"The  war  creates  a  special  condition.  Soldiers  abroad  are 
not  ordinarily  reached  by  the  regular  radio  networks,  nor  by  news¬ 
papers,  They  are  cut  off  from  the  ordinary  sources  by  which  public 
opinion  is  made  and  communicated. 

"But  it  is  necessary  that  there  be  means  of  reaching  them 
for  military  purposes,  for  what  is  called  'indoctrination',  for 

-  1 


8/20/43 


morale,  for  ajnusement  and  the  like.  To  do  this  special  facilities 
are  set  up  by  the  Government,  These  facilities  are  operated  and 
controlled  by  Government  officials. 

"If  soldiers  abroad  are  to  be  enlightened  about  the 
matters  that  compose  political  issues,  they  cannot  be  restricted 
to  hearing  speeches  from  the  President;  they  must  also  hear  what  is 
said  by  the  Administration’s  critics.  " 

Said  Gould  Lincoln  in  the  Washington  Star; 

"Chairman  Spangler  of  the  Republican  National  Committee 
issued  a  statement  at  the  time  denouncing  the  President’s  address 
as  an  attempt  to  make  political  capital  with  the  armed  forces, 

"He  requested  that  his  statement  be  sent  to  the  armed 
forces,  making  the  request  of  both  Secretary  of  War  Stimson  and 
Secretary  of  the  Navy  Knox,  both  Republicans,  by  the  way.  So  far 
as  is  known,  the  request  has  not  been  and  will  not  be  granted.  If 
such  a  policy  is  continued,  it  will  be  a  lopsided  political  campaign 
next  year  so  far  as  the  armed  forces  are  concerned,  with  the  Demo¬ 
crats  holding  all  the  cards,  " 

Much  along  the  same  line  George  Rothwell  Brown  of  the 
Washington  Time s-He raid  added; 

"Secretary  Stimson  did  not  cause  to  be  broadcast  to  the 
fighting  forces  the  Republican  protest  that  the  President  in  outlin¬ 
ing  this  program  at  this  time  had  plainly  indulged,  for  his  own 
political  benefit,  in  fourth-term  propaganda. 

"Mr,  Stimson’ s  action  thoroughly  confirms  the  charge  of 
political  motive  in  the  President’s  radio  address,  if  any  confirma¬ 
tion  were  needed, 

"But  if  Mr.  Harrison  Spangler,  the  Republican  National 
Chairman,  thinks  he  can  accomplish  anything  at  bawling  out  the  PresL 
dent  for  being  what  he  is  and  long  has  been,  a  clever  and  resource¬ 
ful  politician,  he  is  going  to  find  himself  sadly  mistaken. " 

XXXXXXXXX 


ARI^^Y  NEEDS  AND  WILL  BUY  CIVILIAN  RADIO  EQUIPMENT 


Hundreds  of  short  wave  sets  and  other  items  of  amateur 
radio  equipment  are  now  being  used  by  Signal  Corps  units  of  the  Array 
Service  Forces.  There  is  need,  however,  for  even  greater  quantities 
of  this  type  equipment.  Tlie  Emergency  Purchase  Section,  Philadelphia 
Signal  Corps  Procurement  District,  5000  Wissahickon  Avenue,  Phila¬ 
delphia,  Pennsylvania,  is  charged  with  the  purchase  of  such  items 
from  civilians  desiring  to  aid  the  war  effort  by  offering  them  for 
sale. 


-  2  - 


8/80/43 


Insofar  as  radio  equipment  is  concerned,  purchases  are 
confined  to  certain  high  grade  or  scarce  instruments  which  are  no 
longer  manufactured  or  which  are  needed  in  greater  quantities.  The 
list  of  "wanted”  instruments  ranges  from  standard  and  commercial 
short  wave  sets  to  ordinary  meters.  The  greatest  need,  however, 
is  for  testing  equipment,  such  as  oscilloscopes,  signal  generators, 
tube-checkers,  etc.  All  material  is  shipped  to  troops  overseas,  to 
Array  training  schools  or  allocated  to  the  Federal  Bureau  of  Investi¬ 
gation.  The  Ariqy  will  buy  the  following  radio  equipment  from 
pri  vat e  in  di  vi  dual  s : 

Standard  and  commercial  built  short  wave  transmitters 
(such  as  Hallicrafters  HT-1,  etc.;  Temco  and  Collins  Model  32  and 
30)  and  Standard  and  commercial  built  short-wave  receivers  (such 
as  Hallicrafter,  National,  RCA,  RME ,  Hammarlund  or  Howard);  AC  and 
DC  Voltmeters,  Ammeters,  Milliameters,  Radio  Frequency  Meters  and 
Volt-ohm-milliameters ;  Oscilloscopes  2-3  inch;  Audio  signal  gener¬ 
ators,  30-15000  cycles;  RF  signal  generators  15-816  megacycles; 
late  model  tube  checkers  and  other  test  equipment. 

It  is  emphasized  that  owners  who  wish  to  sell  radio 
equipment  to  the  Array  Signal  Corps  should  not  send  it  in  without 
prior  request  from  the  Emergency  Purchase  Section,  Philadelphia 
Signal  Corps  Procurement  District.  A  letter  to  that  office  listing 
the  equipment  that  individuals  wish  to  dispose  of  will  receive 
prompt  attention  and  full  details  of  how  the  transaction  is  con¬ 
summated  will  be  supplied. 

Price  consideration  is  baaed  upon  your  net  cost  less 
reasonable  depreciation  for  use,  age  and  condition  of  equipment. 
Inasmuch  as  all  equipment  is  being  purchased  FOB  Philadelphia,  cost 
of  packing  and  shipping  can  be  shown  separately  so  that  an  allow¬ 
ance  for  the  costs  can  be  made  when  material  is  accepted. 

XXXXXXXXX 


WEISS  POLITICAL  CENSORSHIP  FIGHT  ATTRACTS  WIDE  NOTICE 


Lewis  Allen  Weiss,  Vice-President  and  General  Manager  of 
the  Don  Lee  Broadcasting  System  and  Vice  President  of  the  Mutual 
Broadcasting  System,  refusing  to  be  bluffed  by  the  political  censor¬ 
ship  threats  of  the  Los  Angeles  County  Democratic  Central  Committee 
and  his  expose  of  their  attempt  to  muzzle  West  Coast  radio  stations 
attracted  country -wide  attention. 

As  reported  in  our  last  issue,  George  Myers,  Committee 
secretary,  in  whose  name  the  ultiraatira  was  delivered,  was  quick  to 
Call  the  incident  a  "misunderstanding  with  no  intention  to  Intlral- 
<iate  anyone".  However,  Mr.  Heiww,  whose  network  operates  33  sta¬ 
tions  on  the  Pacific  Coast  had  received  the  threat  in  black  and 
^hite  and  didn't  mince  words  in  denouncing  the  attempt  of  I'^yers 
and  the  Committee  in  its  effort  to  kill  off  anti-New  Deal  comment. 


-  3  - 


8/20/43 


A  lengthy  dispatch  to  the  New  York.  Times  from  Los  Angeles 
describing  the  battle  for  free  speech  said,  in  part: 

'’The  Democratic  Committee  adopted  a  resolution  asserting 
that  a  condition  existed  in  the  broadcasting  industry  ’by  which  a 
large  number  of  commentators  are  expressing  views  diametrically 
opposed  to  the  ideals  and  aims  of  the  Democratic  party  and  its 
leader,  President  Franklin  D,  Roosevelt.  ’ 

”A  copy  of  the  resolution  was  sent  to  Mr,  Weiss,  followed 
a  few  da.ys  later  by  a  copy  of  a  letter  sent  to  the  sponsors  of  the 
Fulton  Lewis  broadcasts.  This  second  letter  stated  that  the  sponsors 
must  accept  equal  responsibility  for  ’misstatements’  by  the  comment¬ 
ator. 


’’It  called  upon  the  sponsors  to  instruct  Mr.  Lewis,  when 
’misstatements’  were  made  in  his  critical  remarks  about  government 
bureaus,  to  devote  ’five  times  as  much  of  his  radio  program  to 
acknowledging  and  correcting  his  errors  as  he  used  erroneously  pre¬ 
senting  his  misstatements  as  facts.’ 

"Radio  executives  asserted  that  the  letter  carried  impli¬ 
cations  of  a  secondary  boycott,  as  in  its  notice  that  if  the  sponsors 
concurred  in  the  demands  this  would  be  evidence  that  ’your  company 
merits  support, ’ 

"In  reply  to  the  letters,  Mr.  Weiss  wrote: 

"’I  became  aware  of  the  device  that  your  Committee  evi¬ 
dently  Intends  to  employ  by  Intimidating,  if  you  can,  all  personal¬ 
ities  on  the  air  who  do  not  happen  to  hold  the  same  political  beliefs 
that  you  do, 

"’I  need  hardly  to  point  out  to  you  how  undemocratic  and 
even  brazen  the  implications  of  your  communications  are,  and  do  not 
believe  that  it  would  redound  to  the  credit  of  your  committee  if  I 
were  to  expose  the  threats  to  f ree  speech  contained  in  them,’" 

XXXXXXXX 

RADIO  TO  PLAY  IMPORTANT  PART  IN  CAPITAL  WAR  EXHIBIT 

Equipment  of  the  Army  Signal  Corps  including  the  latest 
radio  devices  will  be  displayed  at  the  18-day  War  Department  Exhi¬ 
bition  in  Washington,  beginning  Thursday,  September  9th.  It  is 
described  as  the  biggest  public  exhibition  ever  attempted  by  the 
Array  and  will  be  held  to  promote  the  war  bond  drive. 

There  will  be  a  grandstand  seating  10,000.  The  show  will 
be  spread  out  over  an  area  of  aporoximately  six  blocks  on  the 
Ellipse  and  Uall  Just  back  of  the  liThite  House.  It  will  extend  from 
Fourteenth  Street  to  what  would  be  Sixteenth  Street  if  it  were  cut 
through  and  from  Constitution  Avenue  to  a  depth  of  about  three  blocks. 

There  will  also  be  personal  appearances  of  some  of  the 
leading  radio  and  screen  artists. 

XX  XXXXXXXX 
-  4  - 


y.  V 


8/20/45 


BROADCASTERS  WOULD  RE-DEFINE  FOG’S  POWER 


The  broadcasting  Industry  Is  strongly  united  In  the  demand 
for  new  legislation  re-deflnlng  the  powers  and  scope  of  the  Federal 
Communications  Commission,  Neville  Miller,  President,  National 
Association  of  Broadcasters,  said  this  week,  following  a  meeting  of 
the  NAB  Legislative  Committee  In  Washington  last  Tuesday,  Reports 
from  meetings  In  nearly  half  the  17  NAB  districts,  the  first  since 
the  Supreme  Court  FCC  network  decision  o  f  May  10,  were  reviewed. 

’’Most  of  the  meetings  have  resulted  in  the  passage  of 
resolutions  and  the  appointment  of  District  Legislative  Committees, 
Recognition  of  the  industry’s  peril  Is  evident  in  these  moves”,  Mr. 
Miller  concluded. 

Continued  formulation  of  plans  and  policies  occupied  the 
Committee  during  its  all  day  session,  including  discussions  of  the 
White-Wheeler  bill,  scheduled  for  hearings  In  September,  and  the 
Holmes  Bill,  recently  refiled  in  the  House  of  Representatives, 

Committee  members  present  were:  Nathan  Lord,  WAVE, 
Louisville,  Ky,  ;  Clair  Me Collough,  WGAL,  Lancaster,  Pa.;  Joseph 
Ream,  CBS,  New  York;  William  Barlow,  appearing  for  James  D,  Shouse, 
WLW,  Cincinnati,  Ohio;  Ed,  Yocum,  Billings,  Montana;  and  G-,  Richard 
Shafto,  WIS,  Columbia,  S,  C,  ' 

XXXXXXXXXX 


FLY  GETS  MORE  PUBLICITY  THAN  IF  ALLOWED  TO  TESTIFY 


If  Chairman  James  L.  Fly  of  the  Federal  Communications 
Commission  had  been  allowed  to  testify  in  the  regular  way  in  the 
FCC  Investigation,  he  would  have  been  in  the  newspapers  a  day  or 
two  and  then  out.  With  Representative  Cox  slamming  the  door  in 
his  face  and  Fly  flying  back  every  day  or  so  with  a  press  state¬ 
ment  although  he  has  never  been  on  the  witness  stand,  he  has  been 
continually  buzzing  around  Cox  and  getting  as  much  if  not  more 
publicity  as  Congressman  Cox. 

A  typical  example  was  last  Wednesday  when  the  Federal 
Communications  Commission  was  charged  with  having  caused  the  dis¬ 
missal  of  George  Brunner  a  German  language  announcer  on  the  foreign 
language  station  WBNX  In  New  York.  W.  C.  Alcorn,  Manager  of  the 
station,  was  said  to  have  let  Mr,  Brunner  out  after  hearing  from 
Lee  Falk  of  OWI. 

Henry  F.  Wolfgang  was  charged  with  supplying  information 
shout  Brunner  to  the  FCC  prior  to  Falk’s  action,  Wolfgang,  describ¬ 
ed  as  a  narcotic  addict,  according  to  the  evidence,  was  listed  by 
the  New  York  City  police  as  a  potential  Nazi  spy.  He  had  posed  as 
a  refugee,  it  was  brought  out,  and  was  employed  by  the  publication 
PM  for  two  months,  to  write  special  articles. 

-  5  - 


t 


1 

I 


\ 


8/20/43 


Under  the  usual  procedure,  Chairaan  Ply,  desiring  to 
enter  a  denial,  would  have  done  so  a  day  or  so  later  on  the  witness 
stand  but  instead  Issued  a  denial  to  the  press  so  speedily  that  it 
almost  got  into  the  same  edition  of  the  newspapers  with  the  original 
charges. 


’’The  FCC  had  nothing  whatsoever  to  do  with  the  dismissal 
of  (jeorge  Brunner  as  an  announcer  for  Station  WBNX”,  the  FCC  Chair¬ 
man  declared. 

”FCC*s  interviews  with  Henry  H.  Wolfgang  had  nothing  what¬ 
soever  to  do  with  the  dismissal  of  Mr.  Brunner. 

”Mr.  Brunner  was  dismissed  In  June,  1942  -  one  whole 
year  before  any  representative  of  FCC  ever  met  Henry  Wolfgang. 

’’It  was  in  May,  1943  -  one  year  after  the  Brunner  dis¬ 
missal  -  that  Wolfgang  came  to  the  FCC  legal  office  in  New  York  and 
told  the  sensational  story  concerning  alleged  Nazi  radio  activities. 
FCC  agents  in  conjunction  with  the  FBI  Investigated  his  charges 
immediately.  They  discovered  the  New  York  police  record  which  list¬ 
ed  Wolfgang  as  a  potential  spy  with  definite  indications  of  working 
for  the  G-estapo,  and  his  history  as  a  narcotic  addict,  and  dropped 
the  man  at  once. 

”The  record  will  substantiate  each  of  these  facts. 

Making  the  point  that  Capital  opinion  is  not  flattering  to 
the  FCC  Congressional  investigation.  Variety  had  this  to  say: 

’’Whether  or  not  Rep.-  Eugene  Cox's  probe  of  the  Federal  Communi¬ 
cations  Commission  is  a  'washout'  as  Chaiman  Fly  of  FCC  suggests, 
on  Capitol  Hill  the  undercurrent  of  opinion  is  that  Congress  sacri¬ 
ficed  some  integrity  by  placing  the  Georgia  member  in  charge  of  the 
inquiry.  The  Washington  Post,  a  liberal  Republican  paper,  has  been 
bitter  in  its  condemnation  of  a  Congressional  inquiry  where  the 
chairman  serves  as  judge  and  jury  over  a  Federal  agency  that  has 
frankly  accused  him  of  irregular  practice. 

"Speaker  Rayburn  and  House  Majority  leader  John  W,  McCormack 
could  have  blocked  the  appointment  of  Congressman  Cox  had  they  b een 
so  disposed,  and  a  petition  to  the  House  Judiciary  committee  pointed 
out  the  weaknesses  in  having  a  man  under  charges  by  the  FCC  conduct 
an  inquiry  into  its  administration.  Nothing  was  done  about  the  peti¬ 
tion  and  those  who  defend  Cox  say  that  the  Washington  Post  is  dealing 
in  politics  with  its  oumose  to  discredit  a  Democratic  House  com¬ 
mittee. 

"In  the  Senate  and  House  press  galleries,  the  comment  is  that 
Congressman  Cox  nicked  a  real  master  in  public  relations  when  he 
knocked  the  chip  off  Fly's  shoulders.  Although  the  Cox  committee  has 
been  guided  in  its  procedure  by  a  recognized  publicity  expert,  Chair¬ 
man  Fly  has  been  able  to  compete  with  him  for  newspaper  headlines 
and  frequently  beats  him  to  the  printed  punch.  Fly  has  a  strong  sup¬ 
porter  in  Drew  Pearson,  whose  syndicated  column  'Washington  Merry- 
Go-Round'  circulates  in  some  600  newspapers,  and  who  is  continually 

-  6  - 


8/20/43 


prodding  Attorney- General  Biddle  to  take  some  action  on  the  charges 
preferred  against  Congressman  Cox,  novr  pigeon-holed  at  the  Depart¬ 
ment  of  Justice,  Biddle  seems  reluctant  to  cross  swords  with  the 
antl-administratlon  and  Republican  bloc  In  Congress.  '* 

X  X  X  X  X  X  X 


FCC  SETS  SEPT.  10  FOR  PUBLIC  HEARING  ON  BLUE  NET  SALE 


As  had  been  expected,  there  will  be  a  public  hearing  by 
the  Federal  Communications  Commission  on  the  proposed  $8,000,000 
sale  to  the  American  Broadcasting  System,  organized  by  Edward  J, 

Noble,  the  Life saver  Candy  king.  This  announcement  came  from  the 
Commission  earlier  in  the  week: 

'*In  view  of  the  national  importance  and  general  public 
interest  in  the  proposed  sale  of  the  Blue  Network,  Inc. ,  licensee 
of  three  radio  stations  and  operator  of  a  major  network,  the  Feder¬ 
al  Communications  Commission  has  designated  for  public  hearing  on 
September  10  next,  the  application  for  consent  to  transfer  control 
of  the  Blue  Network  Company,  Inc,,  from  Badio  Corporation  of  America 
to  the  American  Broadcasting  System,  Inc. 

"Under  Section  310(b)  of  the  Communications  Act,  the  Com¬ 
mission  must  act  upon  the  transfer  of  control  of  the  three  sta¬ 
tions  -  WJZ  (New  York  City),  WENR  (Chicago),  and  KGO  (San  Francisco) 
which  are  licensed  by  the  Blue  Network,  Inc.  Also  involved  in  the 
transfer  and  subject  to  Commission  approval  are  48  belay  stations 
licensed  to  the  Blue  and  authority  to  transmit  programs  to  Canada, 

"The  procedure  of  public  hearing  on  this  application,  it 
was  noted,  will  provide  opportunity  for  presentation  of  all  material 
evidence  and  enable  the  Commission  to  obtain  full  information  regard¬ 
ing  the  proposed  transfer.  The  full  Commission  will  preside  at  the 
September  hearing,  " 

By  way  of  acquainting  the  executives  and  department  heads 
of  the  Blue  Network  with  Mr.  Noble,  Mark  Woods,  President  of  the 
Blue  Network,  gave  a  luncheon  for  him  at  the  Waldorf-Astoria  in 
New  York  last  Thursday, 

The  new  American  Broadcasting  System,  with  a  Delaware 
charter,  has  Mr.  Noble  as  President;  Earle  A,  Anderson  of  Upper 
Montclair,  N.J.  ,  as  Vice-President  and  C.  Nicholas  Priaulx,  Yonkers, 
N.Y. ,  as  Secretary- Treasurer. 

The  application  shows  that  Mr.  Noble  personally  put  up 
$1,000,000  of  the  $8,000,000  involved  in  the  sale  and  will  hand 
over  the  rest  when  the  FCC  gives  its  approval.  He  is  believed  ready 
to  put  up  another  $3,000,000  and  has  arranged  to  borrow  $4,000,000 
from  three  New  York  banks.  The  new  corY)oration  has  a  capitalization 
of  500,000  shares  of  common,  with  SIO  par  value.  Four  hundred 
thousand  shares  will  be  issued  when  the  deal  is  closed, 

XXXXXXXX 
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CHARGES  OHIO  STATION  USED  SMITH- CO NNALLY  ACT  TO  CENSOR 


Richard  T. Franhensteen, Vice-President  of  the  United  Auto¬ 
mobile  Workers  (CIO),  reported  to  Washington  that  an  Ohio  station 
had  used  the  Smith- Connally  anti- strike  act  to  keep  him  from  making 
political  references. 

The  speech,  prepared  for  delivery  over  Station  WHKC  at 
Columbus,  Ohio,  Frankenstein  said,  included  a  criticism  of  Senator 
Robert  A,  Taft  (R),  of  Ohio,  and  Representative  John  M.  Vorys  (r), 
of  Ohio,  "for  their  antilabor,  anti-Roosevelt,  anti-farmer  voting 
records  in  the  Seventy- eighth  Congress. "  Frankensteen  had  planned 
to  praise  Senator  Harold  H.  Burton  (r),  of  Ohio,  for  a  "far-sighted 
approach"  to  American  foreign  policy, 

"I  was  advised  by  the  program  director  of  the  station, 

John  Moses,  that  all  references  to  pllitical  figures  must  be  delet¬ 
ed",  Frankensteen  said  in  a  statement.  "This  is  the  first  known 
instance  of  a  radio  station  using  the  Smith- Connally  law  to  prohibit 
a  union  official  from  making  a  political  speech. " 

The  CIO  official  said  he  was  turning  the  censored  copy  of 
the  speech  over  to  the  Federal  Communications  Commission,  asking 
that  the  FCC  authorize  station  WHKC  to  allot  time  for  a  reading 
of  the  uncensored  script. 

Mr.  Moses  based  his  interpretation  of  the  Smith- Connally 
Act  on  a  syndicated  newspaper  column  by  David  Lawrence,  Frankensteen 
said.  In  a  letter  to  the  FCC,  Frankensteen  said  "we  trust  that  the 
Federal  Communications  Commission  will  not  permit  the  radio  stations 
of  the  United  States  to  base  their  broadcasting  policy  on  David 
Lawrence's  column." 


XXXXXXXX 

CLAIMS  FCC  GAVE  LICENSE  ONLY  WHEN  2  ANNOUNCERS  FIRED 


Only  after  foreign  language  Station  WGES  in  Chicago  had 
discharged  two  announcers  at  the  request  of  the  Federal  Communica¬ 
tions  did  the  Commission  renew  the  station's  license,  Arnold  B, 
Hartley  told  the  Cox  FCC  Investigation  sub-committee  in  New  York 
Thursday.  The  names  of  the  announcers  who  thus  allegedly  had  to 
walk  the  plank  were  Stefano  Luotto  and  Remo  Conti. 

Hartley, now  a  program  director  at  Station  WOV,  New  York, 
testified  the  owner  of  the  Chicago  station,  Dr.  John  Dyer,  sent  him 
to  Washington  last  October  to  find  out  why  the  FCC  would  not  give 
the  station  a  renewal  of  its  license. 

He  said  two  officials  of  the  FCC's  War  Problems  Division, 
Jerome  H,  Spingam  and  Nathan  David,  told  him  the  FCC  had  received 
complaints  about  the  two  announcers, 

-  8  - 


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8/20/43 


Eugene  L,  Garey,  counsel  to  the  subcommittee  of  the  Cox 
Congressional  Committee,  read  into  the  record  a  letter  Hartley  said 
he  wrote  to  Dr.  Dyer  after  talking  to  Springam  and  David. 

"Luotto  and  Conti  "will  have  to  go.  They  will  have  to 
get  off  the  air. 

”If  we  don’t  clean  up,  it  is  possible  that  we  will  be  call¬ 
ed  to  account  on  two  purely  technical  charges,  since  the  FCC  will  not 
in  all  likelihood  fight  the  case  of  the  Luotto  issue, 

He  said  he  was  aware  at  the  time  that  the  FCC  had  no 
authority  to  ban  station  personnel,  but  that  the  two  announcers  were 
dismissed  last  March,  and  afterward  Station  WCES  received  a  renewal 
of  its  license. 


XXXXXXXX 

For  Release Tuesday  Afternoon.  August  24,  1943. 

FTC  CITES  MOTHER  SHORT-WAVE  DIATHERMY  CONCERN 


Charles  Shapiro,  trading  as  Modern  Home  Diathermy,.  505  W. 
8th  St.,  Los  Angeles,  selling  and  dlstributin  dlathenny  machines 
designated  "Vita therm  Short  Wafe  Diathermy”,  is  charged  in  a  com¬ 
plaint  issued  by  the  Federal  Trade  Commission  with  misrepresentation 
and  false  advertising. 

In  advertisements  in  newspapers,  pamphlets  and  other  media, 
the  respondent  has  made  the  following  representations,  among  others, 
concerning  his  product: 

”VITATHERM  Short  Wave  Diathermy  In  Your  Home*  ” 

"Electro-Magnetic  Waves  generated  by  the  oscillator  of 
the  Vitatherm  produce  a  thorough,  regulated  heat  directly  within  and 
throughout  the  body  part  under  treatment.  .  . ” 

"These  physiological  responses  of  the  body  to  Short  Wave 
Diathermy  have  aided  in  relieving  thousands  of  medically  diagnosed 
cases  of  arthritis,  asthma,  bronchitis,  lumbago,  neuralgia,  neuritis, 
rheumatism,  sinusitis  and  many  kindred  disorders.  Eminent  medical 
practitioners  regard  Short  Wave  Diathermy  as  a  great  contribution  of 
modem  science  to  the  treatment  of  disease  and  the  alleviation  of 
pain,  " 

The  complaint  charges  these  representations  are  grossly 
exaggerated,  false  and  misleading,  and  that  individual  self-applica¬ 
tion  of  the  device  by  the  unskilled  lay  public  in  the  home,  under 
conditions  prescribed  in  the  advertising  or  under  such  conditions 
as  are  customary  or  usual,  is  not  an  effective  treatment  nor  does 
its  use  constitute  a  competent  remedy  for  any  of  the  ailments  enum¬ 
erated. 

XXXXXXXX 
-  9  - 


The  Chicago  Theatre  of  the  Air  (WGN  and  IJiBS)  will  try  out 
a  new  radio  operetta  Saturday,  September  11th,  written  by  Kent 
Cooper,  General  Manager  of  the  Associated  Press.  Its  scene  is  laid 
on  the  new  Alaska  Highwgr. 


The  Board  of  Directors  of  the  American  Guild  of  Musical 
Artists,  has  voted  in  favor  of  merging  with  the  American  Federation 
of  Radio  Artists.  Lawrence  Tibbett  is  President  of  both  unions, 
which  are  affiliated  with  the  American  Federation  of  Labor.  The 
radio  union  is  scheduled  to  act  on  the  merger  proposal  at  its  annual 
convention  next  Saturday  in  Chicago. 


According  to  a  report  of  the  Blue  Network's  progress  in 
1943  made  to  Fred  Thrower,  Vice-President  in  Charge  of  Sales,  the 
sales  curve  will  shoot  sharply  upward  during  the  second  half  of  the 
year,  in  view  of  the  ten  additional  programs  signed  up  for  July, 
August  and  September  and  the  six  regular  programs  due  back  on  the 
air  in  the  Fall  after  a  Summer  hiatus.  The  outlook  for  the  second 
six  months  of  the  year  promises  an  even  more  favorable  record  than 
the  first  half,  when  one-quarter  of  the  Blue's  lineup  of  36  sponsor¬ 
ed  programs  were  newcomers  to  the  network. 


The  Federal  Communications  Commission  has  denied  without 
prejudice  the  application  of  R,  0.  Hardin  and  J.  C.  Buchanan, doing 
business  as  Nashville  Broadcasting  Co. ,  for  a  permit  to  construct  a 
new  local  broadcasting  station  at  Nashville,  Tenn, ,  to  operate  on  a 
frequency  1240  kilocycles,  with  power  of  250  watts,  unlimited  time. 


Ensign  John  Robertson,  son  of  Mr.  Hugh  Robertson,  Execu¬ 
tive  Vice-President  of  the  Zenith  Radio  Corporation  of  Chicago,  was 
married  last  week  to  Miss  Marjorie  Davidson  of  River  Forest,  Lieut. 
Hugh  Robertson,  Jr.  ,  also  of  the  Navy  acted  as  best  man.  Ensign 
Robertson  is  in  the  Naval  Air  Force  and  recently  returned  from  act¬ 
ive  duty  in  the  South  Pacific  war  theater. 


The  Phllco  Corporation  announced  this  week  that  its  con¬ 
solidated  net  income  last  year  of  $2,209,992,  or  $1.61  a  share,  re¬ 
mained  unchanged  following  final  renegotiation  of  its  wa]>-production 
contracts  for  1942.  Under  the  agreement,  the  company  said,  it  had 
been  necessary  to  make  a  net  adjustment  of  $220,350,  but  this  was  pro 
vlded  from  the  $1,000,000  reserve  for  contingencies  established  last 
year.  The  reserve  for  contingencies  established  now  is  $779,650. 
Directors  have  declared  a  dividend  of  20  cents  a  share  on  the  common 
stock;  previous  payments  this  year  were  a  similar  amount  in  June  and 
15  cents  in  March. 

The  Federal  Communications  Commission  designated  for  hear¬ 
ing  the  application  for  renewal  of  license  of  Georgia  School  of 
Technology  (Station  WGST),  Aglanta,  Ga.  Chairman  Fly  and  Commissione 
Craven  voted  "no".  This  case  has  attracted  considerable  attention 
because  of  the  Interest  in  it  by  former  Governor  Townsend  of  Georgia 
and  Representative  Eugene  Cox,  Chairman  of  the  present  FCC  Investi¬ 
gation, 


10 


8/20/43 


Following  the  resignation  of  Oscar  Turner,  Program  Manager 
of  NBC* s  Radio- Re cording  Division,  who  goes  to  the  Office  of  War 
Information,  Norman  Cloutier  has  been  appointed  Manager  of  Thesaurus 
programs  and  will  have  charge  of  all  matters  pertaining  to  the  pro¬ 
gramming  of  Thesaurus.  He  will  also  continue  to  be  responsible  for 
all  recording  copyright  matters,  Morris  W.  Hamilton  will  become 
program  Manager, 


Zonite  Products  Corp.  ,  Chrysler  Bldg.  ,  New  York,  engaged 
in  the  sale  of  Forhan's  Toothpaste,  a  cosmetic  preparation,  and 
Erwin,  Wasey  &  Company,  Inc. ,  420  Lexington  Ave.  ,  New  York,  adver¬ 
tising  agency,  which  has  participated  in  the  preparation  and  dis¬ 
semination  of  advertising  matter  for  Forhan's  Toothpaste,  are  charge 
in  a  complaint  Issued  by  the  Federal  Trade  Commission  with  misrepre¬ 
sentation,  in  advertisements  in  newspapers  and  periodicals,  by  radio 
continuities  and  other  means. 


Finch  Telecommunications,  Inc,;  Four  months  to  April  30: 
Net  profit,  $120,199,  equal  to  5 2  cents  each  on  231,100  shares, 
which  is  in  contrast  to  the  deficit  of  $12,462  reported  for  the 
year  ended  December  31,  1942, 


Station  KOAM,  The  Pittsburg  Broadcasting  Co.,  Inc,,  Pitts¬ 
burg,  Kansas,  denied  request  for  Special  Service  Authorization  to 
operate  unlimited  time,  power  of  500  watts  night,  1  kilowatt  day, 
for  the  period  ending  February  1,  1944, 


First  step  toward  the  construction  of  the  new  WJZ  trans¬ 
mitter  was  taken  Wednesda.y  when  Mark  Woods,  President  of  the  Blue 
Network,  broke  ground  at  the  site  on  Route  17  in  Lodi,  New  Jersey. 


The  official  ground-breaking  was  the  high  point  of  a  gala 
celebration  attended  by  representatives  of  the  Blue  and  WJZ,  the 
Mayors  of  five  New  Jersey  cities  and  officials  of  Bergen  County,  The 
new  transmitter  building  will  be  completed  within  the  next  four 
months  and  the  640-foot  tower  will  be  reconstructed  and  in  operation 
by  the  end  of  the  year. 


XXXXXXXXX 

The  last  three  paragraphs  which  were  inadvertently  omit¬ 
ted  as  the  continuation  of  the  story  "Calls  It  The  'Cox  Persecution 
Committee'"  in  the  issue  of  August  17th,  are  as  follows: 

"As  soon  as  he  stepped  out  of  the  room,  Hllmer  stopped 
testifying.  So  after  more  scurrying  and  telephoning.  Congressman 
Louis  Miller,  St,  Louis  Republican,  arrived.  But  he  also  was  either 
busy  or  bored,  and  refused  to  stay  to  hear  Hilmer  testify, 

"So  from  2  P,M,  until  4  P.M,  Hilmer  had  to  sit,  twiddling 
nls  thumbs,  waiting  for  the  Cox  Committee  lawyers  to  drum  up  another 
Congressman,  Finally  at  4  P.M.  they  got  Miller  to  come  back, 

"That  is  Just  one  example  of  how  Cox's  'persecution  com¬ 
mittee'  is  operating, " 


XXXXXXXX 

-  11  - 


Heinl  Radio  Business  Letter 

2400  CALIFORNIA  STREET  WASHINGTON,  D.  C. 


library 
RmEFELLER  Zt  . 

NEW  YORK,  N.  Y. 


INDEX  TO  ISSUE  OF  AUGUST  24,  1943 


Fly  Buzzes  Too  Close  To  Rep.  Cox  To  Be  Swatted . 1 

New  OWI  Radio  News  And  Policy  Group  To  Meet  Soon . 3 

CBS  Offers  To  Withdraw  WNYC  Opposition  For  Duration . 4 

WU-Postal  Merger  Hearings  Expected  To  End  Soon... . 

Praise  For  Wartime  Radio  Crystal  Research., . 


Sees  Democrats'  Approval  Of  Weiss  In  OWI  Appointment 


NAB  Pays  Tribute  To  Women  Technicians . 

Increase  Of  35^  In  War  F&dio  Output  Seen . 

Visions  Post-War  Telegrams  By  "Telefax” . 

Miss  Kelsey  Presents  "Radionics  Trail  Blazers", . 9 

Trade  Notes . 10 

Blue  Opens  Own  Nev/s  Room . 11 

Ship  Named  After  Victor  Herbert,  ASCAP  Founder . 11 


No.  1556 


CD  CD  -<j  a>  cn  oi 


August  24,  1943 


FLY  BUZZES  TOO  CLOSE  TO  REP.  COX  TO  BE  SWATTED 


Despite  the  fact  that  the  Cox-FCC  Investigating  Committee 
pulled  up  stakes  in  Washington  and  has  been  holding  its  meetings  In 
New  York,  Chairman  James  L.  Fly  of  the  Federal  Communications  Com¬ 
mission,  has  apparently  been  sticking  uncomfortably  close  to  it. 

Thus  far  denied  a  hearing  by  Chaiman  Cox  and  his  Committee,  Mr. 

Fly  has  been  banging  back  at  them  with  press  statements  and  finally 
finding  it  "necessary”  to  go  to  New  York  on  "other  business”  held  a 
press  conference  in  New  York  which  got  more  space  than  the  Cox  Com¬ 
mittee  charges  which  prompted  it. 

As  if  that  weren’t  enough  to  put  his  side  of  the  case 
before  the  public,  Mr.  Fly  over  the  week-end  exploded  a  depth-bomb 
in  the  form  of  a  three-column  letter  to  the  editor  of  the  New  York 
Times,  which  the  Times  printed  Sunday  and  which  took  up  half  the 
editorial  page. 

At  about  the  same  time,  Drew  Pearson,  who  has  one  of  the 
most  widely  syndicated  columns  in  the  country,  wrote  another  blister¬ 
ing  "Cox  Persecution  Committee"  comment  (a  previous  one  having  been 
reprinted  in  our  August  17th  release),  which  read: 

"The  Cox  ’persecution*  committee,  investigating  the  Feder¬ 
al  Communications  Commission,  doesn't  like  the  publicity  it  is  get¬ 
ting  in  the  newspapers.  So  it  has  hired  James  K.  Leftwich  of  a  New 
York  advertising  firm  as  its  publicity  mogul.  Leftwich  has  been  go¬ 
ing  around  slapping  newsmen  on  the  back,  suggesting  that  they 
haven’t  mentioned  the  name  of  Committee  Counsel  Eugene  Sa.rey  often 
enough. 


"Recently  Garey  held  a  press  conference  in  which  he  ex¬ 
plained  that  the  reason  the  Cox  Committee  had  moved  its  hearings 
from  Washington  to  New  York  was  becaus*^  the  publicity  was  bad  in  the 
Nation’s  Capital,  Washington  newspapers,  he  explained,  were  all 
controlled  by  the  Administration. 

"Page  certain  Washington  publishers  who  have  fought  Roose¬ 
velt  to  the  bitter  end.'  " 

Chairman  Fly  wrote  to  the  Times,  in  part: 

"I  do  not  wish  to  go  into  the  matter  of  the  S2,500  check 
Congressman  Cox  received  from  Radio  Station  WALB  in  Albany,  Ga,  for 
legal  services’  he  purported  to  perform  in  connection  with  that 
station’s  application  for  a  license  from  the  Commission.  This 
matter  is  now  in  the  hands  of  the  Attorney  General  and  the  facts  are 
widely  known  to  the  public.  The  relation  of  that  item  to  the  origin 


1 


8/24/43 


of  the  investigation  and  the  scurrilou®  remarks  regarding  the  Com-* 
mission  which  were  made  by  the  Congressman  on  the  floor  of  the  House 
even  before  the  investigation  began  are  likewise  relegated  to  the 
background.  At  this  Juncture,  however,  one  may  well  Inquire  as  to 
the  character  of  ’Judicial  inquiry’  which  has  developed  from  such 
a  genesis. 


’’From  its  inception  the  Cox  Committee  and  its  counsel 
have  abandoned  any  attempt  at  objectivity  or  constructive  accom¬ 
plishment.  The  principle  of  a  full  and  fair  presentation  of  all  the 
facts  has  been  rejected.  Suppressing  the  true  facts,  the  Committee 
has  sought  the  headlines  by  twisting  and  distorting  meager  evidence 
carefully  calculated  to  do  injury  to  the  Commission  and  its  per¬ 
sonnel.  Careful  design  is  all  too  apparent, 

"The  Commission  has  never  been  permitted  to  answer  the 
irresponsible  charges  made,  to  make  any  statement  through  counsel 
or  to  offer  any  document  in  evidence.  The  procedural  controls  of 
the  Committee  are  exercised  to  the  end  that  startling  news  will  be 
created  and  its  publication  assured,  while  evidence  reflecting  upon 
the  validity  of  the  story  is  completely  smothered.  Thus  after  six 
months  of  ’investigation’  ajid  seven  weeks  of 'hearings’ ,  the  Commit¬ 
tee  has  still  not  afforded  the  Commission  an  opportunity  to  answer 
any  of  the  charges  or  to  get  a  word  in  edgewise, 

’’Observers  at  Committee  meetings  have  noted  the  oft- 
repeated  Edgar  Bergen- Charley  McCarthy  act  in  which  Mr,  Cox  and  his 
counsel  exchange  speeches  carefully  prepared  to  emphasize  the  point 
which  they  desire  the  press  to  accentuate.  In  the  hearing  room  the 
Committee’s  own  hired  press  representative  seeks  to  sour  on  the 
reporters.  Adjournments  and  recesses  are  utilized  to  gra.sp  the  head¬ 
lines  and.  Indeed,  to  smother  countervailing  statements. 

’’Control  of  the  public  proce'^ures  and  the  publicity  mech¬ 
anism,  while  a  hearing  is  denied,  has  been  accompanied  by  complement¬ 
ary  behind-the-scenes  activity  fitting  into  the  sajne  pattern.  Early 
in  the  Investigation  the  Commission  discovered  that  various  ’wit¬ 
nesses’  from  the  industry,  from  the  Government  and  from  the  Commis¬ 
sion’s  own  staff  were  being  grilled  by  Committee  counsel  in  secret 
sessions.  At  these  proceedings  no  member  of  the  Congressional 
Committee  has  been  present.  The  press  and  public  have  been  kept 
similarly  in  the  dark.  Even  the  ’witness',  if  not  antagonistic  to 
the  Commission,  has  been  refused  permission  to  see  or  correct  the 
transcript  of  his  own  testimony. 

’’These  ’star  chamber'  proceedings  by  the  employees  of  the 
Committee  have  been  held  in  private  hotel  suites,  in  the  private  law 
offices  of  Committee  counsel  and  his  personal  associates,  and  in 
other  places  of  seclusion.  On  occasion  the  attendance  of  ’witnesses' 
at  such  places  before  these  Committee  employees  has  been  compelled 
oy  subpoenas  issued  without  any  authority  of  law.  This  unlawful 
procedure  has  been  amplified  by  the  Committee  staff  member  purport¬ 
ing  to  place  the  witness  under  oath.  Under  these  circumstances  the 
’witnesses'  have  been  grilled  for  hours  on  end  and  full  transcripts 
of  the  ’testimony'  taken.  The  Commission  has  never  been  permitted 
to  purchase  or  even  to  see  a  copy  of  those  transcripts, 

—  2  — 


8/84/43 


"Reprehensible  as  the  taking  of  this  secret  testimony  is, 
the  manner  in  which  it  is  finally  used  is  worse.  When  the  witness 
is  very  antagonistic  to  the  Commission  and  is  not  able  to  be  present 
at  the  public  hearings,  only  the  most  damaging  parts  are  read  into 
the  record;  any  countervailing  statements  even  of  the  same  witness 
are  studiously  suppressed.  When  the  witness  of  the  'secret  session* 
is  a  Commission  employee,  only  those  statements  which  appear  to  be 
damaging  because  read  out  of  context  are  uttered  for  the  public 
record. 


"After  the  witnesses  who  might  be  fair  and  state  the  facts 
as  they  really  are  have  been  culled  out  by  these  secret  sessions, 
the  anti- Commission  witnesses  who  are  sufficiently  disgruntled  are 
finally  called  to  public  hearing,  and  their  secret  testimony  is  used 
to  force  them  to  go  at  least  as  far  in  'public  hearings'  as  they 
were  cajoled  or  threatened  to  go  in  the  closed  session.  That  even 
these  witnesses,  hostile  as  they  are  to  the  Commission,  are  reluct¬ 
ant  to  go  this  far  on  the  public  stand  is  evident  from  the  record." 

XXXXXXXX 


NEW  OWI  RADIO  NEWS  AND  POLICY  GROUP  TO  TIEET  SOON 


The  new  Advisory  Radio  News  and  Policy  Committee  appointed 
by  Elmer  Davis,  Director  of  War  Information,  and  Palmer  Hoyt,  Dl]>- 
ector  of  Domestic  Operations,  will  meet  with  OWI  officials  as  soon 
as  a  satisfactory  date  can  be  arranged.  This  Committee  is  composed 
of  nine  outstanding  officials  in  the  radio  industry. 

A  similar  Advisory  Committee  composed  of  Newspaper  editors 
and  publishers  was  appointed  several  weeks  ago  and  has  already  had 
an  Initial  meeting  with  Mr,  Davis  and  Mr.  Hoyt. 

The  radio  officials  who  will  serve  on  the  Radio  Commitee 

are : 


Lewis  Allen  Weiss,  Vice  President  and  General  Manager  of  the 
Don  Lee  Broadcasting  System;  Miller  McClintock,  President  of  the 
Mutual  Broadcasting  System;  William  S.  Paley,  President,  of  the 
Columbia  Broadcasting  System;  Mark  Woods,  President  of  The  Blue 
Network;  Leo  Fitzpatrick,  Executive  Vice  President  and  General  Man¬ 
ager  of  The  Goodwill  Station,  WJR,  Detroit;  Herbert  L.  Pettey,  Dir¬ 
ector  of  WHN,  New  York  City; Martin  B,  Campbell,  Managing  Director, 
WFAA,  Dallas  Studios,  and  WBAP,  Fort  Worth  Studios;  Neville  Miller, 
President  of  the  National  Association  of  Broadcasters,  and  Niles 
Trammell,  President  of  the  National  Broadcasting  Company, 

These  officials  will  make  recommendations  to  OWI  from 
time  to  time  upon  information  problems  as  they  relate  to  radio, 

XXXXXXXX 


-  3 


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8/24/43 


CBS  OFFERS  TO  WITHDRAW  WNYC  OPPOSITION  FOR  DURATION 


The  Columbia  Broadcasting  System,  in  a  petition  filed 
Monday  with  the  Federal  Communications  Commission,  withdrew  its 
opposition  to  longer  hours  of  operation  for  Station  WNYC,  New  York, 
for  the  duration  of  the  war,  provided,  that  in  the  opinion  of  the 
Commission,  such  action  would  aid  in  the  war  effort.  Columbia 
Broadcasting  System  is  the  owner  and  operator  of  WCCO,  Minneapolis 
and  St,  Paul,  Class  I  station,  operating  full  time  with  50,000  watts 
power  on  830  kilocycles.  WNYC  operates  with  1,000  watts  during  the 
day  on  this  same  wavelength  and  In  compliance  with  FCC  Rules  and 
Regulations  signs  off  at  sundown  Twin  City  time. 

For  several  years,  the  City  of  New  York  and  officials  of 
WNYC  have  been  seeking  to  have  their  time  of  operation  extended.  To 
date  their  efforts  have  been  opposed  by  the  State  of  Minnesota  and 
the  Columbia  Broadcasting  System,  because  the  extended  nighttime 
operating  schedule  for  WNYC  would  Interfere  with  the  program  service 
provided  to  rural  listeners  in  the  north  central  area  and  is  con¬ 
trary  to  the  Rules  of  the  Commission, 

WNYC  in  its  latest  request  for  additional  time,  however, 
stated  in  its  application  to  the  FCC  that  the  service  to  be  render¬ 
ed  would  be  ’needed  wartime  services’  for  the  people  of  the  City  of 
New  York,  In  the  petition  filed  yesterday,  Columbia  stated  that  it 
’’desires  to  take  no  action  which  will  in  any  way  hamper  the  fullest 
and  most  effective  prosecution  of  the  war',  and  that,  ’it  is  the 
sincere  wish  of  Columbia  to  facilitate  and  to  aid  in  any  way  possible 
the  complete  prosecution  of  the  war  and  the  proper  defense  of  the 
people  of  this  country, " 

Columbia  also  stated  that  it  cannot.  Itself,  possess  know^ 
ledge  of  sufficient  facts  regarding  the  strategy  of  the  war  to  enable 
it  to  determine  whether  the  operation  of  WNYC,  as  proposed  by  the 
application,  would  assist  in  the  prosecution  of  the  war  and  the 
proper  defense  of  the  people  of  this  country,  but  was  willing  to 
leave  the  decision  as  to  the  merits  of  the  case  in  the  hands  of  the 
Federal  Communications  Commission, 

WNYC  and  the  City  of  New  York  first  applied  for  operation 
until  10:00  P,M,  on  the  WCCO  channel  in  1939.  The  application  was 
opposed  by  Columbia  and  the  State  of  Minnesota,  on  the  grounds  that 
the  extended  operation  of  WNYC  was  not  only  contrary  to  the  Rules 
and  Regulations  of  the  FCC  but  that  such  operation  would  interfere 
with  the  nighttime  rural  service  provided  by  WCCO,  After  two  years 
of  intermittent  hearings  the  Federal  Communications  Commission 
denied  the  application  of  WNYC.  In  October,  1942,  Wl^C  filed  an 
application  for  a  Special  Service  Authorization,  which  would  permit 
the  station  to  operate  until  10:00  ?.M.  prevailing  Eastern  time. 

This  Was  granted  in  December,  1942,  without  notice  to  Columbia, 

When  Columbia  filed  a  petition  for  rehearing,  the  grant  was  revoked 
and  another  hearing  was  set  for  September  13,  1943, 


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0/24/43 


In  announcing  its  willingness  to  withdraw  opposition  to 
the  Special  Service  Authorization  grant,  Columbia  specified  that 
such  grant  should  be  only  for  the  duration  of  the  war  or  the  license 
period  of  WNYC,  whichever  period  is  shorter,  and  that  the  extended 
time  on  the  air  should  be  used  only  for  programs  in  connection  with 
the  war  effort,  Columbia  also  stated  that  in  taking  such  action, 
it  was  acting  only  to  facilitate  the  establishment  of  a  temporary 
service  which  may  be  determined  to  be  necessary  during  the  wartime 
emergency,  and  that  it  was  not  waiving  in  any  manner  its  right  to 
insist  upon  the  maintenance  of  the  frequency  of  830  kilocycles  used 
by  WCCO  as  a  clear  channel,  and  the  fullest  protection  of  the  Com¬ 
mission*  s  Rules  and  Regulations,  the  Communications  Act  of  1934 
and  all  applicable  laws  of  the  United  States.  Neither,  in  withdraw¬ 
ing  its  opposition,  Columbia  stated,  would  it  admit  that  the  opera¬ 
tion  of  WNYC  during  nighttime  hours  would  not  cause  interference 
within  the  territory  served  by  WCCO, 

XXXXXXXXX 


WU-POSTAL  MEROER  HEARINGS  EXPECTED  TO  END  SOON 


Chairman  Fly  at  his  press  conference  Monday,  while  declin¬ 
ing  to  make  any  official  prediction  said  he  believed  the  Western 
Union-Postal  Merger  hearings  would  wind  up  ’’pretty  soon”, 

Mr,  Fly  said  the  sessions  had  been  so  long  drawn  out  that 
he  was  getting  tired  of  them  and  asked  "Fho  isn't?” 

Mr,  Fly  remarked  that  the  Commission  had  taken  so  much 
testimony  and  given  such  latitude  in  examination  and  cross  examina¬ 
tion  that  maybe  the  record  had  been  made  too  extensive  for  some 
phases  of  the  case. 

Asked  if  there  would  be  ary  oral  argument,  the  Chairman 
replied:  ”l  don’t  believe  we  will  have  much  oral  argument;  most  of 

it  has  been  argument  anyway. ” 

XXXXXXXX 

PRAISE  FOR  WARTIME  RADIO  CRYSTAL  RESEARCH 

In  connection  with  an  article  on  quartz  crystal  which 
appeared  in  Life  August  2nd,  Gerald  James  Holton,  of  Harvard  Univer¬ 
sity,  writes  that  magazine: 

”In  proDortion  to  size  those  little  glasslike  quartz 
wafers  are  perhaps  the  most  remarkable  of  all  the  tools  science  has 
given  to  war.  When  the  story  of  the  almost  incredible  progress  in 
research  and  manufacture  of  radio  crystals  in  the  last  two  years 
can  be  told,  it  will  prove  to  be  a  tale  of  one  of  this  war's  great¬ 
est  achievements.  No  less  significant  will  be  the  fruit  of  these 
advancements  to  a  new  world  at  peace  where  crystals  will  be  the 
vibrating  hearts  of  most  telecommunication  equipment, ” 

XXXXXXXX 
-  5  - 


ft 


SEES  DEMOCRA.TS*  APPROVAL  OF  WEISS  IN  OWI  APPOINTKffiNT 


That  Lewis  Allen  Weiss,  General  Manager  of  the  Don  Lee 
Broadcasting  System  at  Hollywood  should  head  the  list  of  those 
appointed  to  serve  on  the  new  OWI  Radio  News  and  Policy  Committee 
after  Mr.  Weiss  had  told  the  local  Democratic  Committee  in  Los 
Angeles  where  to  get  off,  was  seen  as  the  Administration* s  approval 
of  the  Californian’s  action  by  John  O'Donnell,  Washington  corres¬ 
pondent  of  the  New  York  News,  whose  column  is  reprinted  in  the 
Washington  Times  Herald,  and  the  Chicago  Tribune,  who  writes? 

"The  Office  of  War  Information  announced  last  night  that 
it  has  created  an  Advisory  Radio  News  and  Policy  Committee,  composed 
of  big  shots  on  the  air.  From  what’s  been  happening  in  the  past 
fortnight  we  think  this  Committee  has  some  important  work  to  do, 

"We  mean  important  work  in  connection  with  radio  broad¬ 
casts  of  news  and  the  fourth  term  campaign  of  F.  D,  R.  Also,  but  in 
a  minor  key,  work  in  connection  with  the  Government  broadcasting  of 
Uncle  Elmer  Davis,  top-kick  in  the  Office  of  War  Information,  There 
have  been  a  few  published  reports  to  the  effect  that  some  of  the 
broadcasting  outfits  were  inclined  to  be  surly  and  mulish  when  con¬ 
fronted  with  the  proposition  of  giving  Uncle  Elmer  (who  used  to  be 
a  newspaperman  himself  and  was  later  a  broadcaster  -  and  a  damned 
good  one)  free  time  on  the  air  Just  by  way  of  keeping  the  Davis  hand 
in  and  making  sure  that  the  folksy,  Hoosier  twang  of  Uncle  Elmer 
didn't  lose  its  homey  appeal  by  Washington  associations, 

•‘One  thing  they  can  do  is  to  call  up  Chairman  Frank  C, 
Walker,  of  the  Democratic  National  Committee,  and  ask  him  if  he 
doesn't  think  it  would  be  a  good  idea  to  pass  the  word  down  the 
line  -  to  State  and  city  Democratic  Committees  -  that  they  shouldn't 
try  to  put  the  blast  on  radio  critics  of  Fourth  Term  Candidate 
Roosevelt  by  asking  their  sponsors  to  take  them  off  the  air  -  or 
else. 


"Out  in  Los  Angeles,  the  Democratic  Committee  this  month 
passed  a  resolution,  which  complained  that  a  large  number  of  broad¬ 
casters  were  expressing  views  'diametrically  opposed  to  the  ideals 
and  aims  of  the  Democratic  party  and  its  leader,  President  Franklin 
D.  Roosevelt,* 

"They  sent  a  copy  of  the  resolution  to  the  Don  Lee  Broad¬ 
casting  System,  complained  specifically  about  Radio  Broadcaster 
Commentator  Fulton  Lewis,  Jr,  and  demanded  that  the  sponsors  devote 
five  times  as  much  time  to  refute  Lewis'  observations  as  the  com¬ 
mentator  had  used  in  making  them. 

"Lewis  Allen  Weiss,  General  Manager  of  the  Don  Lee  System, 
was  properly  burned  up  by  these  political  strong-arm  methods.  He 
denounced  the  Democratic  Committee  for  infringing  on  the  rights  of 
free  speech  and  said  their  political  policy  on  radio  news  'would 
meet  with  contempt  of  Democrats  as  well  as  Republicans'. 

"Now  we  are  happy  to  note  the  name  of  Lewis  Allen  Weiss 
leads  the  list  of  appointees  to  Elmer  Davis'  new  OWI  Radio  Committee. 
Apparently  the  boys  have  grasped  the  significance  and  danger  of  the 
political  pressure  on  radio  in  a  hot  campaign  year. " 

XXXXXXXX 


6  — 


..  .  'O 


8/24/43 


NAB  PAYS  TRIBUTE  TO  WOMEN  TECHNICIANS 


"That  she  might  serve  at  home  and  leave  him  free, " 

This  is  the  keynote  of  a  brochure  prepared  by  Arthur 
Stringer,  Secretary  of  the  War  Committee  of  the  National  Associa¬ 
tion  of  Broadcasters,  and  Howard  S.  Frazier,  of  NAB,  to  give  an 
idea  of  how  women  are  serving  in  the  technical  side  of  radio.  As 
is  proper  and  fitting  in  anything  having  to  do  with  the  fair  sex, 
the  brochure  is  largely  made  up  of  photographs.  Pictures  are 
shown  of  more  than  a  hundred  women  now  in  radio  with  the  caption: 

"As  the  photographs  in  this  brochure  indicate,  women  have 
come  to  the  control  rooms  and  transmitters  of  the  nations  broadcast 
stations  to  relieve  men  for  war  duty.  This  presentation  is  both  a 
tribute  to  these  patriotic  young  women  and  an  invitation  to  others 
to  enter  the  industry. " 

Typical  are  the  following: 

KINY,  Juneau,  Alaska.  Trained  on  the  job,  Mrs.  Louise  D,  Carl  now 
does  all  the  announcing,  spins  records  and  transcriptions,  rides 
gain  on  short-wave  rebroadcasts  and  handles  sound  effects.  Her  only 
license  is  a  marriage  license.  Her  husband  is  Walter  R,  Carl,  Sta- 
tionJ,!anager. 


WBAL,  Baltimore,  In  preparation  for  all  technical  personnel  contin 
gencies.  Chief  Engineer  Gerald  V.  Cooke  maintains  a  control  room 
training  program  for  feminine  staff  members.  Miss  Dee  Speed  and 
Miss  Elraa  West  are  his  first  two  graduates. 


WWDC,  Washington,  D,  C,  Here's  a  trick  shot  of  the  station's  three 
women  technicians  who  compose  the  control  room  staff,  Miss  Rosita 
Cardinals ,  Mrs,  J.  M.  Wliitman,  mother  of  four  children,  and  Miss 
Pauline  Lilly.  The  latter  Joined  the  station  in  February  of  last 
year.  After  intensive  training  the  scope  of  her  work  was  extended 
to  Include  remote  switching,  auditioning  and  cutting  of  Instantaneous 
recordings.  Same  procedure  was  used  in  training  the  other  two  girls, 

WCCO,  Minneapolis.  Miss  Mary  Ellen  Trottner,  while  taking  post 
graduate  work  at  the  University  of  Minnesota,  was  recommended  over 
a  year  ago,  as  an  apprentice  technician.  She  received  sixty  days' 
training  under  studio  supervisors.  Now  handles  regular  shifts  in 
studio  and  master  control  operations.  She  enrolled  in  ESMWT  Funda¬ 
mentals  of  Radio  course,  holds  a  third  class  license,  and  plans  to 
obtain  first  class  radio- telephone  license, 

WAVE,  Louisville.  \^en  Douglas  Atwell,  operator,  left  for  the  Air 
Corps,  June  3,  his  wife,  18-year-old  Alberta,  took  over.  Though  his 
marriage  and  departure  to  the  Air  Corps  occurred  almost  simultan¬ 
eously,  there  was  Just  enough  time  for  Alberta  to  become  initiated 
into  the  mysteries  of  the  control  room. 

XXXXXXXX 
-  7  - 


INCREASE  OF  IN  WAR  RADIO  OUTPUT  SEEN 


Demands  now  being  made  upon  radio  manufacturers  by  WPB 
and  tbe  Army  and  Navy  are  at  an  all-time  peak.  For  1944,  an  in¬ 
crease  of  35^  in  radio  requirements  is  indicated,  according  to 
0.  H.  Caldwell,  Editor  of  Radio  Today,  who  says: 

"During  1943,  output  has  been  at  a  rate  of  three  million 
dollars  annually.  For  1944,  four  billion  dollars*  worth  of  radio 
apparatus  is  scheduled,  (These  figures  are  to  be  contrasted  with 
the  quarte2>-billion- dollar  normal  civilian  radio  output,  at  manu¬ 
facturers'  prices), 

"This  huge  demand  for  war- radio  equipment  makes  it  appar¬ 
ent  that  no  resumption  of  civilian  radio  manufacture  can  be  con¬ 
sidered  during  the  next  twelve  months,  barring  an  unforeseen  turn 
of  the  war.  All  civilian  output  is  automatically  banned,  except  for 
the  trickle  of  Lend-Lease  assemblies  going  to  Russia  and  South 
America,  from  manufacturers  with  balanced  inventories,  a  total  of 
not  over  100,000  sets  annually.  The  sole  civilian  responsibility 
recognized  by  WPB's  Radio  Division,  is  only  to  provide  tubes  and 
parts  to  keep  at  least  one  radio  set  working  in  each  of  the  nation's 
30  million  radio  homes.  " 


xxxxxxxx 

VISIONS  POST-WAR  TELECRAIvlS  BY  "TELEFAX'' 


Post-war  telegrams  may  be  sent  by  telefax,  something  on 
the  order  of  television,  F,  E,  D'Humy,  Vice-President  of  Western 
Union,  reports,  Mr.  D'Huray  described  the  device  to  members  of  the 
Federal  Communications  Commission  at  a  hearing  on  the  proposed  merger 
of  Western  Union  and  Postal  Telegraph.  Telefax  in  principle,  is  a 
method  of  beajning  messages  by  light  waves.  An  exact  reproduction 
of  the  original  message  filed  by  the  sender  will  be  transmitter, 
making  the  possibility  of  error  infinitesimal,  he  said. 

Telefax  would  mean  better  service  and  lower  rates  to  the 
public,  Mr.  D'Huray  added.  Development  of  the  plan  would  extend 
over  a  ten-year  period.  It  would  call  for  the  gradual  retirement 
of  existing  equipment. 


XXXXXXXX 

"Probably  100  different  shows  in  the  last  17  months, 
since  the  formation  of  the  new  Blue,  have  been  booked",  Phil  Carlin, 
Vice  President  in  Charge  of  Blue  Network  Programs,  writes  in  Radio 
pally.  "Incidentally  a  substantial  number  of  them  have  been  sold. 
Just  to  prove  that  I'm  not  talking  through  ray  hat  on  this,  we  did  a 
little  figuring,  and  here's  what  we  found.  Since  January,  1942,  to 
date,  we've  auditioned  1400  actors  and  actresses,  300  singers,  68 
acts,  81  package  shows,  36  commentators,  and  475  prospective  announ¬ 
cers,  besides  auditioning  40  shows  for  agencies.  You  can  also  add 
■to  that  list  16D  0  children  auditioned  by  Madge  Tucker  for  her  two 
children's  programs." 

-  8  - 


XXXXXXXXXXX 


8/24/43 


Miss  Elizabeth  Kelsey  of  the  Zenith  Radio  Corporation’s 
Engineering  Department,  has  written  a  SO-page  booklet,  "Trail 
Blazers  to  Radionics  and  Reference  Guide  to  Ultra  High  Frequencies", 
including  biographies  of  great  men  in  science  and  bibliographies. 


The  Preface,  written  by  Commander  E.  F.  McDonald,  Jr,, 
President,  and  G.  E,  Gustafson,  Vice-President  in  Charge  of 
Engineering,  reads; 


"Trail  Blazers  to  Radionics  and  Reference  Guide  to  Ultra 
High  Frequencies  have  been  prepared  to  fill  aneed  recognized  by 
those  in  the  communications  divisions  of  our  armed  forces,  by  radio 
engineers,  science  teachers  and  college  and  high  school  students, 
as  well  as  by  the  layman.  In  writing  Trail  Blazers  to  Radionics 
(Part  1)  every  effort  was  made  to  present  in  a  concise  form  import¬ 
ant  data  that  would  not  otherwise  be  obtainable  without  considerable 
research  in  a  large  library.  The  purpose  of  this  work  is  to  pre¬ 
sent  biographies  of  great  men  of  science  and  their  research,  and 
tell  where  such  contributions  are  now  used  in  the  progress  of 
science.  We  hope  that  its  contents  will  stimulate  a  desire  for  the 
pursuit  and  advancement  of  knowledge  by  students,  therefore  prepar¬ 
ing  the  way^  to  the  Radionic  Age  into  which  man  is  now  entering, 

"The  first  edition  of  Reference  Guide  to  Ultra  High 
Frequencies  was  published  months  ago  and  widely  distributed.  It 
provided  much  of  the  academic  background  for  Radar  research  and  is 
regarded  as  a  definite  contribution  in  the  field.  This  third  edi¬ 
tion  of  Reference  Guide  to  Ultra  High  Frequencies  (Part  2)  has 
been  brought  up  to  date  and  includes  much  new  material.  We  hope 
that  it  will  continue  to  aid  those  developing  Radionic  military 
equipment,  especially  the  men  in  our  Army  and  Navy  research  labor¬ 
atories  who  long  before  war  was  declared  did  the  original  work  on 
that  most  valuable  weapon,  Radar. 

"Miss  Elizabeth  Kelsey  of  Zenith  Radio  Coroo ration ' s 
Engineering  Division  has  spent  many  patient  months  in  compiling  and 
editing  this  book.  She  is  a  Fellow  of  the  Royal  Society  of  Arts 
and  Sciences,  member  of  American  Association  for  the  Advancement  of 
Science,  and  an  associate  member  of  the  Institute  of  Radio  Engineers 
and  of  the  International  Television  Society. 


"We  present  to  you  the  results  of  Miss  Kelsey’s  efforts, 
with  the  compliments  of  Zenith  Radio  Corporation,  in  the  interests 
of  the  victory  program.  " 


Copies  of  the  booklet  are  available  upon  request  for 


XXXXXXXXXX 


9 


IJ 


8/24/43 


TRADE  NOTES  :: 


Among  the  radio  correspondents  at  the  Churchill- Roosevelt 
conference  at  Quebec  are  Richard  Harkness,  NBC;  H.  R.  Baukhage,  Blue 
Network;  William  L.  Henry,  CBS;  Ray  Henle,  MBS;  Willson  Woodslde, 
Canadian  Broadcasting  Corporation,  and  Michael  Barkway  and  Clement 
Fuller,  British  Broadcasting  Corporation, 


Production  and  sales  of  radio  sets  in  Canada  continued  to 
decline  in  the  last  quarter  of  1942,  Producers’  sales  during  the 
quarter  totaled  30,181  sets,  valued  at  $1,868,000,  but  only  12,029 
sets  were  made. 


W,  L.  Fattlg  has  been  appointed  Acting  Supervisor  of  the 
Technical  Service  Section  of  the  General  Electric  Receiver  Division, 
Bridgeport,  Conn,  P,  R,  Butler,  former  I>fenager  of  the  Section,  is 
now  a  lieutenant  in  the  U,  S.  Navy,  In  1937,  Mr.  Fattig  became  a 
radio  field  engineer  for  the  G-E  Receiver  Division  and  covered 
Atlanta  and  New  Orleans,  In  1940  he  was  called  to  Bridgeport,  Conn., 
to  work  in  the  Section  he  now  heads  as  Acting  Supervisor, 

Mr.  Butler  is  a  native  of  Portsmouth,  N.H.  After  10  years 
in  the  radio  field  he  Joined  General  Electric  in  1935  as  a  radio 
field  engineer  for  the  Receiver  Division  and  later  became  Supervisor 
of  field  technical  service  for  the  Division, 


Station  KFSD,  1000- watt  outlet  in  Sen  Diego,  Calif, ,  will 
Join  NBC’s  Pacific  Coast  network  on  September  1st, 


J.  H.  Swenson,  Supervisor  of  the  CBS  ?ilaintenance  and  Con¬ 
struction  Department,  and  R,  A.  Trago,  Assistant  Supervisor  of 
that  Department,  have  let  the  network  to  enter  the  Ariny;  and  W,  J, 
Fahey  has  Joined  the  Maintenance  and  Construction  Department, 

Da.vid  Dp  vis.  Supervisor  of  CBS’  Field  Engineering  Depart¬ 
ment,  now  also  fills  Mr.  Swenson's  position  as  Supervisor  of  tie 
Maintenance  and  Construction  Department.  Harry  Silbersdorf,  a 
staff  technician  in  the  Field  Engineering  Division  for  the  past 
twelve  years,  has  been  named  Assistant  Supervisor  of  that  Itepartraent, 


WOR  Recording  Studios  have  been  recording  and  servicing 
200  stations  in  this  country  and  Canada  with  5-mlnute  news  summaries 
from  Australia,  Belgium  and  Greece.  Belgian  and  Greek  underground 
sources  relay  the  news  to  London  and  from  there  it  is  cabled  to  the 
United  States,  put  on  16-lnch  records  by  WOR  and  distributed.  It  is 
expected  that  there  will  be  six  nations  following  this  procedure 
within  a  short  time. 


E,  F,  Peterson  ha.s  been  placed  in  charge  of  Design  Engi¬ 
neering  of  General  Electric  receiving  tubes;  K,  C.  DeWalt,  design 
engineer,  Tube  Division,  will  continue  his  responsibility  for 
design  engineering  of  all  other  product  lines  of  the  Division, 


XXXXXXXXXX 

-  10  - 


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8/24/43 


BLUE  OPENS  OWN  NEWS  ROOM 


The  Blue  Network  formally  opened  its  own  New  York  news 
room  yesterday  (August  23rd),  0.  W.  Johnstone,  Director  of  News  and 
Special  Features,  has  announced.  To  satisfy  the  needs  of  the  large 
staff  of  news  broadcasters  built  up  by  the  Blue,  the  news  room  will 
be  in  operation  24  hours  daily,  seven  days  weekly. 

Complete  with  its  own  battery  of  teletype  printers  and 
manned  by  a  staff  of  nine  persons,  the  New  York  news  room  is  to  be 
under  the  supervision  of  John  C.  Robb,  who  has  been  promoted  from 
the  position  of  editorial  assistant  to  Mr.  Johnstone,  to  Manager, 
Leon  Decker,  also  a  former  editorial  assistant,  and  John  T.  Madigan, 
formerly  with  the  NBC  news  room,  have  been  appointed  news  editors, 
heading  a  staff  of  six  writers. 

Since  the  separation  from  NBC  and  the  setting  up  of  the 
Blue  as  an  independent  network  in  January,  1942,  news  reports  for 
Blue  newscasters  have  been  written  in  the  NBC  news  room  under  the 
supervision  of  Mr,  Johnstone’s  editorial  assistants,  and  mechanical 
facilities  were  pooled  by  the  two  networks.  The  opening  of  the 
Blue  news  room  Monda.y  marks  the  complete  separation  of  news  oper¬ 
ations. 


XXXXXXXX 


SHIP  NAMED  AFTER  VICTOR  HERBERT,  ASCAP  FOUNDER 


A  new  Liberty  Ship,  the  ’’Victor  Herbert”,  a  birthday 
gift  to  Major  General  Jonathan  M,  Wainwright  taken  by  the  Japs  at 
Corregidor,  was  christened  by  Mrs.  Claude  Peoper,  wife  of  the 
Florida  Senator  last  Sunday  at  Panama  City,  Florida. 

The  ’’Victor  Herbert”,  named  for  the  composer  and  founder 
of  the  American  Society  of  Composers,  Authors  and  publishers,  is  a 
sixtieth  birthday  present  to  the  General,  who  is  now  being  held  in 
Formosa,  Senator  Pepper  spoke  at  the  launching  ceremonies,  and  Mrs. 
Wainwright  accepted  the  ship  on  behalf  of  her  husband. 

xxxxxxxxx 

station  KTUC,  at  Tucson,  Arizona,  is  now  giving  time 
breaks  in  military  terminology.  Often  called  ’’twenty- four  hour  time” 
such  a  system  means  that  1:00  P.M.  becomes  thirteen  hundred,  2:00 
P.M.  becomes  fourteen  hundred  and  so  on  until  midnight  when  it’s 
twenty-four  hundred. 

”l  don't  know  of  another  station  in  the  country  using  mil¬ 
itary  time”,  said  Lee  Little,  General  I>fenager  of  KTUC.  ”The  change¬ 
over  created  no  small  muddle  in  the  minds  of  our  announcers  and  as 
far  as  the  listeners  are  concerned,  we  have  a  hunch  that  we  have 
almost  forced  them  to  learn  how  to  tell  time  all  over  again, ” 


XXXXXXXX 
-  11  - 


Heinl  Radio  Business  Letter 

2400  CALIFORNIA  STREET  WASHINGTON,  D.  C. 

W' 


INDEX  TO  ISSUE  OF  AUGUST  27,  1943 


New  Call  Letters  For  All  FM  Stations  November  1 . 1 

All  You  Had  To  Do  In  Those  Days  Was  To  Ask  Terrell . 2 

FCC  Modifies  Its  Rules  And  Regulations . 4 

Praising  Weiss,  Chicago  Trlb,  Says  Radio  Ruled  By  Fear . 6 

FCC  Probe  Subcommittee  To  Meet  In  Washington  Aug.  30 . 7 

Is  Elmer  In  The  Dog  House?  Row  Over  His  Broadcasts . 8 

Looks  As  If  Drew  Pearson  Has  Hit  It  Again . 9 

Trade  Notes . 10 


No.  1557 


NEW  CALL  LETTERS  FOR  ALL  FM  STATIONS  NOVETffiER  1 


There  will  be  a  complete  reshuffling  of  call  letters  for 
the  Frequency  Modulation  (FM)  stations  of  the  United  States  November 
1st,  These  stations  are  now  45  In  number  and  all  have  new  designa¬ 
tions. 


The  system  Just  adopted  for  FlI  stations  will  replace  the 
present  combination  of  letter- numeral  calls  (such  as  W47NY,  W51R, 
etc.  )  presently  used  by  FM  broadcasters  and  will  conform  to  the  com¬ 
binations  currently  used  by  standard  broadcast  and  commercial  tele¬ 
vision  stations.  In  cases  where  a  licensee  of  an  FI^  station  also 
operates  a  standard  broadcast  station  in  the  same  city,  he  may,  if 
he  so  desires,  retain  his  standard  call  letter  assignment  followed 
by  the  suffix  to  designate  broadcasting  on  the  FM  band.  Thus, 

if  the  licensee  of  a  standard  broadcast  station  with  the  call  letters 
’'WAAX”  (hypothetical),  also  operates  an  FM  station  in  the  same  loca¬ 
tion,  he  will  have  the  choice  of  using  the  call  ”WAAX-FM”  or  he  may, 
on  the  other  hand,  be  assigned  a  new  four-letter  call  -  say,  WXRI. 
Similarly,  an  FM  broadcaster  on  the  West  Coast,  who  also  operates  a 
standard  broadcast  station  ”KQO’',  may,  if  he  likes,  use  the  call 
"KQO-FM”  or  he  may  ask  for  a  new  four-letter  call  '’KQjOF”  for  his  FM 
station.  This  choice  will  remain  entirely  with  the  FM  operator, 

FM  licensees  may  inspect  at  the  FCC  a  list  of  the  approxi¬ 
mately  4,000  four-letter  calls  which  are  available  for  assignments. 
This  number  appears  ample  to  supply  calls  for  all  additional  stand¬ 
ard,  commercial  television,  FM  stations  and  non-broadcast  classes  for 
some  time  to  come,  (The  Commission  wishes  to  call  attention  to  the 
fact,  however,  that  all  three-letter  calls  have  already  been  assign¬ 
ed.  ) 


All  call  letters  beginning  with  ’’W”  are  assigned  to  sta¬ 
tions  east  of  the  Mississippi  River;  all  station  calls  beginning 
with  “K"  are  located  west  of  the  Mississippi  and  in  the  territories. 

A  breakdown  of  the  4,000  four-letter  calls  available  shows  approxi¬ 
mately  8,900  ’’K”  calls  and  1100  •^W's"  still  unassigned, 

FM  stations  are  asked  to  have  their  requests,  indicating 
a  preference  in  call  letters,  filed  with  the  Commission  by  October  1, 
If  no  request  has  been  received  from  an  FM  licensee  by  that  date,  the 
FCC  will,  at  its  discretion,  assign  a  new  four-letter  call  to  that 
station. 


It  is  recommended  that  FM  operators,  who  wish  a  new  four- 
letter  call,  list  their  first,  second  and  third  choices,  and  in  the 
event  two  stations  seek  identical  call  letters  the  request  first 
received  by  the  Commission  will  be  honored.  All  FM  stations  will  use 
their  new  call  letters  on  the  air  effective  November  1,  next. 


8/27/43 


Under  the  old  system  the  first  letter  of  an  FM  call, 
either  K  or  W,  indicated  the  geographical  position  of  the  station  in 
relation  to  the  Mississippi  River,  the  number  designation  showed  the 
frequency  on  which  that  station  was  operating  and  the  last  letter  or 
letters  gave  a  clue  to  the  city  from  which  the  broadcast  emanated, 

(FM  stations  are  licensed  in  the  43,000  to  50,000  kilocycle  band,  on 
frequencies  from  43,100  to  49,900  kc. ,  progressing  by  200  kilocycle 
steps.)  Thus  the  call  K37LA  indicates  a  station  operating  on  43,700 
kc  at  Los  Angeles;  W53D,  a  station  on  45,300  kc.  at  Detroit,  etc. 

The  Commission’s  decision  to  discard  the  combination  of 
letter^ numeral  calls  for  FM  stations  arose  out  of  several  disadvant¬ 
ages  and  inherent  limitations  in  the  system  based  upon  the  past 
experience  of  FM  broadcasters  themselves,  and  the  advisability  of 
making  the  change  at  this  time  when  transmitter  construction  is 
halted  because  of  the  war.  Licensees  of  FM  stations  have  found  that 
the  letter-numeral  system  is  somewhat  cumbersome  and  does  not  meet 
with  general  public  acceptance.  In  addition,  a  change  in  frequency 
of  an  FM  station  under  the  old  system  involved  a  change  in  its  call 
with  consequent  confusion  to  the  listening  public.  Finally,  it  was 
felt  that  as  FI'J  broadcast  stations  were  licensed  in  more  and  more 
cities,  it  would  become  increasingly  difficult  to  Identify  the  sta¬ 
tion  call  with  a  particular  city  through  the  use  of  an  initial  letter 
or  letters. 


XXXXXXXX 

ALL  YOU  HAD  TO  DO  IN  THOSE  DAYS  WAS  TO  ASK  TERRELL 


Back  yonder  when  this  thing  called  radio  was  new,  a  report¬ 
er  assigned  to  cover  its  development  and  naturally  pretty  hazy  on 
the  subject,  said:  ”I  am  going  to  get  a  book  and  learn  something 
about  it, 


"Don’t  be  foolish",  said  Lynne  M.  Lamm,  a  veteran 
Washington  correspondent,  "if  you  want  to  know  anything  Just  call 
Terrell.  " 


And  plenty  did  Just  that  thing  including  no  less  a  person¬ 
age  than  a  former  Secretary  of  Commerce  and  President  of  the  United 
States  -  Herbert  Hoover,  Also,  if  a  broadcaster  wanted  to  share 
time,  change  a  frequency,  or  step  up  the  power  a  little,  he  likewise 
called  Mr,  Terrell,  If  it  happened  to  conflict  with  some  other 
station,  Terrell,  in  his  nice  Southern  way,  would  suggest  that  the 
two  stations  get  together  and  if  they  could  work  out  something 
agreeable  to  each  other,  it  would  probably  be  all  right  with  tlie 
Commerce  Department,  And  it  usually  was. 

The  writer,  recalling  those  good  old  days,  asked  one  of 
the  outstanding  radio  authorities  of  the  United  States  if,  outside 
of  war  activities,  approximately  the  same  thing  could  not  be  done 
today  without  the  hundreds  of  FCC  employees  and  hundreds  of  thous¬ 
ands  of  dollars  of  overhead,  and  he  said  "Sure,  the  whole  thing 

-  2  - 


8/27/43 


is  political.  The  FCC  has  become  one  of  the  biggest  political 
Christmas  trees  in  the  entire  Government  service.  With  Secretary 
Hoover  on  the  Job,  Judge  S.  B.  Davis,  his  Solicitor  General,  now 
gone  to  his  reward,  and  a  few  of  the  faithful  like  Terrell,  we  could 
run  the  thing  as  good  now  as  we  ever  did.  In  those  days  we  didn’t 
even  have  a  law  to  back  us  up, ” 

The  Terrell  referred  to,  of  course,  Is  the  one  and  only 
William  D.  Terrell,  the  first  radio  Inspector  In  the  United  States, 
who  will  retire  at  the  end  of  the  month  after  40  years  in  the 
Government  service. 

In  recognition  of  his  splendid  service,  the  FCC  addressed 
the  following  letter  to  him: 

"Dear  Mr.  Terrell: 

"On  the  occasion  of  your  voluntary  retirement  from  government  ser¬ 
vice  August  31,  1943,  may  I  convey  to  you  on  behalf  of  the  Commis¬ 
sion  and  its  staff,  as  well  as  personally,  our  sincere  best  wishes 
and  our  hope  that  you  will  continue  to  enjoy  for  many  years  to  come 
health,  happiness,  and  the  satisfaction  of  important  work  well  done. 
We  know  that  the  friendships  cemented  during  our  association  with 
you  will  endure,  and  that  you  will  continue  to  hold  the  respect  of 
all  concerned  with  radio  which  you  have  earned  during  your  forty 
years  of  meritorious  service  to  your  government, 

"In  1911,  when  you  became  the  first  United  States  Radio  Inspector, 
you  had  already  had  twenty-two  years  of  pioneer  communications 
experience  including  eight  years  of  government  service.  Thereafter, 
as  Chief  of  the  Radio  Division  of  the  Department  of  Commerce,  you 
contributed  more  than  any  other  government  official  toward  the  early 
growth  of  broadcasting  and  of  high-frequency  communication.  Since 
1932,  as  Chief  of  the  Division  of  Field  Operations  of  the  Federal 
Radio  Commission,  and  as  Chief  of  the  Field  Division  of  the  Federal 
Communications  Commission,,  you  have  devoted  yourself  unremittingly 
and  unsparingly  to  the  duties  of  your  office. 

"We  especially  wish  to  thank  you  for  your  last  two  years  on  active 
duty,  undertaken  at  our  request  and  with  the  approval  of  the  Presi¬ 
dent  after  you  had  passed  seventy,  the  statutory  age  of  retirement 
for  Federal  employees,  thus  giving  us  the  benefit  of  your  expert 
advice  and  assistance  during  the  most  difficult  period  of  adjustment 
to  war  conditions  when  your  help  was  urgently  needed, 

"As  tokens  of  your  accomplishment  and  of  the  esteem  in  which  you 
are  held  in  your  profession,  you  were  elected  a  ^fellow  of  the  Insti¬ 
tute  of  Radio  Engineers  in  1929  and  made  an  Honorary  Member  of  the 
Veteran  Wireless  Operators'  Association,  You  have  represented  this 
Government  with  distinction  at  many  national  and  International  meet¬ 
ings,  including  the  International  Radiotelegraph  Conference,  London, 
1912;  National  Broadcast  Conferences  called  by  the  Secretary  of  Com¬ 
merce,  1922,  1923,  1924  and  1925;  International  Telegraph  Conference, 
Paris,  1925;  International  Radio  Conference,  Washington,  1927; 

Safety  of  Life  at  Sea  Conference,  London,  and  European  Broadcasting 


3 


0/27/43 


Conference,  Prague,  1929,  In  all  these  lines  of  duty,  you  have 
brought  credit  to  yourself  and  the  government, 

"Not  the  least  of  your  services  has  been  the  selection  and  training 
of  younger  men  who  will  now  carry  on  the  tradition  of  competence  and 
integrity  which  you  have  established,  and  who  will  seek  to  maintain 
the  high  standards  you  have  set.  I  know  these  men  Join  with  the 
Commissioners  in  appreciation  and  cordial  best  wishes, 

"BY  ORDER  OF  THE  COmiSSION 

(Signed)  James  Lawrence  Fly 
Chairman” 

xxxxxxxxxx 


FCC  MODIFIES  ITS  RULES  AND  REGULATIONS 


The  Commission  has  modified  its  Rules  Governing  Fixed 
Public  Radio  Services,  Part  6,  deleting  the  reference  to  the  term 
"A-3  emission”  (telephony)  in  the  definition  of  "radiotelegraph”  in 
Section  6,9,  and  adding  a  new  Section  6.11  to  incorporate  this 
stricken  material  and  to  permit  the  use  of  A~3  emission  for  the  con¬ 
trol  of  the  transmission  and  reception  of  facsimile  material.  At  the 
same  time  the  Commission  deleted  from  Section  6,10  the  reference  to 
emissions  which  are  used  for  telegraph  services,  and  incorporated 
the  stricken  material  in  a  new  Section  6.12, 

The  modified  sections  and  new  sections  read  as  follows: 

"Section  6,9  Radiotelegraph  -  The  term  *  radiotelegraph*  as  here 
Inafter  used  shall  be  construed  to  include  A-0,  A-1,  A-2  and  A-4  em¬ 
ission.  " 

"Section  6,11  Use  of  A-3  Emission  by  Radiotelegraph  Stations  - 
The  licensee  of  a  point-to-point  radiotelegraph  station  may  be 
authorized  to  use  type  A-3  emission  for  the  purpose  of  transmitting 
addressed  program  material  as  set  forth  in  Section  6.51  and  for  the 
purpose  of  controlling  the  transmission  and  reception  of  facsimile 
material,  ” 

"Section  6,10  Radiotelephone  -  The  terra  ’radiotelephone'  as 
hereinafter  used  shall  be  construed  to  include  type  A-3  emission 
only.  ” 

"Section  6,12  Use  of  A-O,  A-1  or  A-2  Emission  by  Radiotelephone 
Stations  -'The  licensee  of  a  point-to-point  radiotelephone  station 
may  be  authorized  to  use  type  A-0,  A-1  or  A-2  emission  for  test  pur¬ 
poses  or  for  the  exchange  of  service  messages. ” 


-  4 


8/27/43 


The  Commission  also  pdopted  a  new  Section  2,66  of  its 
General  Rules  and  Regulations  to  require  written  notice  to  the  FCC 
Inspector  in  Charge  of  the  district  in  which  a  radio  station  oper¬ 
ates  two  days  prior  to  the  voluntary  reroval  of  that  station,  tem¬ 
porary  or  permanent  discontinuance  of  operation,  and  within  two 
days  subsequent  to  Involuntary  discontinuance  of  operation.  Radio 
stations  in  Alaska  are  excluded  from  this  requirement. 

The  new  Section  2,66  reads: 

”2,66  Discontinuance  of  Operation.  Unless  otherwise  required 
by  the  rules  governing  the  particular  service  in  which  a  radio  sta¬ 
tion  operates,  the  licensee  of  each  fixed  or  land  radio  station, 
except  stations  operating  in  Alaska,  shall  notify  the  Inspector  in 
charge  of  the  district  where  such  station  is  located  of  any  of  the 
following  changes  in  the  status  of  such  station  at  least  two  days 
before  such  change ; 

(a)  Temporary  discontinuance  of  operation  for  a  period  of 

ten  days  or  more; 

(b)  The  date  of  resumption  of  operation  after  temporary  dis¬ 

continuance  of  operation  for  a  period  of  10  days  or 
more; 

(c)  Permanent  discontinuance  of  operation. 

"Provided,  however,  where  any  such  discontinuance  of  operation 
is  not  voluntary  and  results  from  causes  beyond  the  control  of  the 
licensee  notice  thereof  shall  be  given  not  later  than  two  days  after 
such  discontinuance  of  operation, 

"In  all  cases  of  permanent  discontinuance  of  operation  the 
licensee  shall,  in  addition  to  notifying  the  inspector  of  intention 
to  discontinue  operation,  immediately  forward  the  station  license  to 
the  Washington,  D, C. ,  office  of  the  Commission  for  cancellation," 

Concurrently,  the  Commission  revised  Section  1,361  of  its 
Rules  of  Practice  and  Procedure  so  as  to  eliminate  any  reference  to 
specific  forms.  Footnotes  to  Sections  1.361  and  43.1  have  also  been 
adopted  to  emphasize  relationship  to  the  two  sections. 

Section  1,361  now  reads: 

"Sec.  1,361*  Financial  Statements  -  Each  licensee  of  a  stand¬ 
ard  broadcast  station  shall  file  with  the  Commission  on  or  before 
March  1  of  each  year  on  such  forms  as  may  be  prescribed  by  the  Com¬ 
mission,  a  balance  sheet  showing  the  financial  condition  of  the 
licensee  as  of  December  31  of  the  preceding  year  and  an  income  state¬ 
ment  for  the  preceding  calendar  year.  Each  such  form  shall  be  sub- 
scribed  as  provided  in  Section  1,121,” 

*  See  also  Section  43.1  of  the  Rules  and  Regulations  which  requires 
the  filing  by  licensees  and  permittees  of  all  classes  of  broad¬ 
cast  stations  of  reports  as  to  ownership,  operation, interests 
therein,  contracts,  etc.  " 


J  * 


8/27/43 


An  asterisk  Inserted  Immediately  a  f ter  "Section  43,1"  re¬ 
fers  to  the  following  footnote; 

"<^See  also  Section  1,361  of  the  Rules  of  Practice  and  Procedure 
which  requires  the  filing  by  each  licensee  of  a  Standard  broadcast 
station  of  financial  statements, " 

XXXXXXXX 


PRAISING  WEISS,  CHICAGO  TRI3.  SAYS  RADIO  RULED  BY  FEAR 


Referring  to  the  attempt  of  the  Los  Angeles  Democrats  to 
throw  a  scare  into  the  broadcasters,  the  Chi ca go  Tribune ,  which  it¬ 
self  owns  the  famous  Station  WGN,  said  editorially: 

"Thru  the  courage  of  Lewis  A,  Weiss,  General  Manager  of 
the  Don  Lee  broadcasting  chain  In  California,  an  attempt  by  the 
Democratic  politicos  of  that  State  to  censor  radio  criticism  of  the 
New  Deal  has  been  brought  to  public  attention, 

"The  Los  Angeles  County  Democratic  Committee  took  action, 
thru  letters  to  the  broadcasting  chain  and  to  sponsors  of  some  of 
its  programs,  to  suppress  radio  commentators  who  have  been  critical 
of  the  New  Deal,  The  Committee  made  a  particular  drive  against 
Fulton  Lewis,  Jr.,  whose  factual  reports,  based  on  his  own  Investi¬ 
gations,  have  exposed  numerous  administration  blunders, 

"The  Committee  was  blunt  In  stating  the  grounds  for  its 
opposition  to  Lewis.  It  Is  out  after  his  scalp  because  he  and  other 
commentators  ‘are  expressing  views  dlajnetrlcally  opposed  to  the 
Ideals  and  alms  of  the  Democratic  party  and  of  its  leader,  President 
Franklin  D,  Roosevelt, ' 

"The  Committee *s  representations  were  made  privately.  When 
Weiss  made  them  public,  denouncing  them  as  'undemocratic  and  even 
brazen*,  the  politicos  began  to  back  away.  They  asserted  that  there 
was  'no  Intention  of  Intimidating  any  one.  '  The  Committee  had,  of 
course,  asserted  that  sponsors  should  be  held  Jointly  responsible 
with  a  commentator  for  any  of  his  remarks.  It  had  demanded  that 
Lewis'  sponsor  instruct  him  that  when  he  made  'misstatements'  about 
government  bureaus  he  must  devote  five  times  as  much  time  to  present¬ 
ing  the  New  Deal  alibi  as  he  did  to  presenting  the  original  facts, 

"This  outrage  cannot  be  regarded  as  merely  the  spontaneous 
action  of  a  local  Democratic  organization.  The  Los  Angeles  Democrats 
were  following  the  official  party  line  of  the  New  Deal,  The  Federal 
Communications  Commission,  the  OWI,  and  other  administration  agencies 
are  also  trying  to  make  the  radio  stations  of  the  country  official 
expounders  of  administration  policies. 

"The  radio  industry  is  ruled  by  fear,  the  fear  that  if  it 
offends  the  administration  the  licenses  of  its  stations  will  be 
revoked.  The  FCC  has  shown  in  the  past  that  it  will  not  hesitate  to 
take  such  action  on  trivial  excuses,  when  it  is  politically  desirable 
to  do  so, 

"There  will  never  be  a  free  radio  in  this  country  until  the 
right  to  operate  radio  stations  is  confirmed  by  Congress,  to  be 
revoked  only  for  abuse  of  that  right,  proved  in  the  courts.  Radio 
stations  today  are  legally  in  the  same  class  with  saloons.  The  sta¬ 
tions  are  kept  under  license  in  order  that  they  may  be  subject  at 
all  times  to  the  intimidation  of  the  licensing  authority. " 

XXXXXXXX  -6- 


) 


i' 


8/27/43 


FCC  PROBE  SUBCOMMITTEE  TO  MEET  IN  WASHINGTON  AUG.  30 


A  subcommittee  of  the  Cox  Federal  Communications  Commis¬ 
sion  investigation  will  meet  at  the  Capitol  next  Monday,  August  30, 

It  will  be  headed  by  Representative  Louis  E,  Miller  ( R) ,  of  Missouri, 
and  the  sessions  are  expected  to  last  two  or  three  days. 

At  the  New  York  sub-committee  hearings,  Lido  Belli, 
Itallan-language  broadcaster  and  radio-time  broker,  testified  that 
he  had  been  forced  off  the  air  by  Office  of  War  Information  officials 
and  obliged  to  give  over  control  of  his  business  to  a  man  suggested 
by  them,  ?vlr.  Belli  said  that  in  eleven  months  off  the  air  he  had 
lost  ^90,000,  His  business  is  that  of  purchasing  radio  time  ”in 
bulk”  from  Station  WBNX  and  selling  advertising  time  to  his  clients. 

Renzo  Nlssim,  a  former  OWI  aide,  who  took  over  the  busi¬ 
ness  of  Belli,  admitted  that  he  had  been  a  fonner  member  of  the 
Fascist  party  in  Italy,  L!r,  Nlssim  said  he  had  been  consulted  by 
Lee  Falk,  OWI  foreign-language- radio  chief,  before  receiving  an 
offer  from  Lido  Belli.  Mr,  Belli  had  testified  that  it  was  at  Mr. 
Falk’s  suggestion  that  he  agreed,  to  take  on  Mr,  Nissira,  and  to  let 
Mr.  Nlssim  dismiss  his  current  employees  and  hire  new  ones  that 
would  be  acceptable  to  the  OWI.  Mr.  Nissira  said  later  that  he  had 
employed  and  dismissed,  but  consulted  the  OWI  first.  As  to  program 
content,  he  said  Mr.  Falk  wished  foreign-language  broadcasts  to  be 
”antl- Fascist,  pro-democratic”. 

His  enlistment  in  the  Fascist  party,  Iifr,  Nissim  said,  was 
for  the  purpose  of  obtaining  employment  as  an  assistant  professor  at 
a  university  in  Florence,  Italy, 

”So  you  Joined  the  Fascist  party  there  so  you  could  get  a 
job?”  Representative  Cox  interposed, 

”Ye8”,  Mr.  Nissim  answered. 

”And  when  you  decided  to  come  to  the  United  States  you 
gave  it  up  so  you  could  get  a  Job  here?”  Mr,  Cox  continued, 

”Yes”,  said  the  witness, 

William  I,  Moore,  Assistant  to  the  Manager  of  Station  WBNX, 
told  of  Mr.  Falk’s  having  said,  ”in  essence”,  that  unless  the 
foreign-language  broadcasters  got  rid  of  ’’unsavory  personnel”  they 
'^ould  lose  their  licenses, 

Duccio  Tabet,  a  censor  and  translator  of  Italian  prograjns 
for  radio  station  WOV,  who  came  to  this  country  in  1940  as  a  politi¬ 
cal  refugee,  who  admitted  he  was  a  former  officer  in  the  Italian 
army  and  at  one  time  a  member  of  the  Fs.scist  Party,  testified  yester¬ 
day  he  censored  religious  programs  and  at  one  time  paraphrased  part 
of  the  Lord’s  Prayer  ”to  prevent  mlsinteirpretation”. 


„  7  - 


A  O 


r  .  . ^ 

.  j.  •  .1 


St  A 


.  f  >. 


8/27/43 


Tabet  said  that  the  line:  "Forgive  us  our  trespasses  as  we 
forgive  those  who  trespass  against  us"  was  paraphrased  to  read:  "Let 
I  us  forgive  those  who  enacted  by  anger  or  driven  ty  the  hidden  force 
I  of  Satan  have  attempted  to  offend  us.  " 

Tabet' s  explanation  was  that  it  was  his  job  to  "prevent 
anything  against  the  war  effort  from  going  on  the  air.  " 

f: 

He  said  he  helped  to  formulate  the  censorship  code  for 
j  that  station  and  that  one  of  the  rules  of  the  code  read:  "When  one 
talks  of  peace  he  must  in  every  case  first  state  that  the  victory  of 
America  is  necessary  for  humanity  to  find  its  peace.  " 

In  line  with  this  policy,  he  testified,  the  quotation 
"Peace  on  earth,  good  will  toward  men",  which  was  broadcast  at 
i  Christmas  time  was  paraphrased  to  read:  "Peace  on  earth,  good  will 
toward  men  and  victory  for  America.  " 

Tabet  added  that  the  paraphrasing  of  the  Lord's  Prayer  had 
;i  never  been  broadcast  because  in  his  capacity  as  censor  he  deleted  it. 

i 

XXXXXXXX 


IS  ELMER  IN  THE  DOG  HOUSE?  ROW  OVER  HIS  BROADCASTS 


■  Elmer  Davis  seems  to  no  more  get  out  of  one  mess  than  he 

'  is  in  another.  Now  a  controversy  is  raging  over  whether  or  not  he 
ji  is  trying  to  strong-arm  the  networks  into  giving  him  time  on  Sunday 
“  nights  to  resume  his  Administration  broadcasts.  Before  his  trip 
abroad,  Elmer  broadcast  on  Friday  nights  but  the  former  CBS  ace 
newscaster  says  that  was  too  much  of  a  chore  after  a  hard  day's 
j!  work. 

As  will  be  remembered,  the  Republicans  threw  several  dead 
cats  at  the  broadcasts  of  Mr,  Davis  and  are  not  expected  to  show  any 
more  enthusiasm  if  he  returns.  The  entire  matter  is  expected  to  be 
f  put  up  to  the  new  formed  OWI  Radio  Committee  of  which  Lewis  Allen 
Weiss,  Vice-President  of  the  Don  Lee  network,  is  Chairman, 

All  of  which  leads  up  to  a  big  question  as  to  whether  or 
not  Mr,  Davis  is  in  the  presidential  dog-house  raised  by  the 
Wa8hinp;ton  Post  in  an  editorial  earlier  in  the  week,  "here's  Elmer 
i  Davis?"  which  read: 

"No  previous  Anglo-American  conference  has  had  so  much  pub- 
:  llclty  as  the  current  meeting  at  Quebec.  The  press  is  in  attendance 
'  and  free  to  report  the  proceedings  while  they  are  in  progress.  The 
*  principal  participants  have  been  openly  feted  and  photographed.  So 
\  newsworthy  was  the  occasion  considered  by  the  British  that  their 
I  Minister  of  Information,  Brendan  Bracken,  came  all  the  way  to  Canada 
J  to  participate  in  his  official  capacity.  But  his  counterpart  in  the 
;  United  States,  Elmer  Davis,  has  been  conspicuous  only  by  his  absence. 


8/27/43 


"Mr.  Davis’  attendance  at  the  Quebec  conference  would 
have  been  altogether  logical.  Who  can  be  better  fitted  to  give 
guidance  and  help  to  the  American  correspondents  there  than  the 
Director  of  War  Information?  Yet  the  link  between  our  newsmen  and 
the  conferees  has  been  presidential  Secretary  Stephen  Early,  Able 
though  he  is,  this  is  not  his  job.  One  cannot  help  wondering  why 
Mr.  Davis  was  left  on  the  outside.  It  scarcely  seems  reasonable  to 
ascribe  his  absence  to  his  own  volition. 

’’President  Roosevelt  sometimes  moves  in  mysterious  ways. 

In  this  instance  he  appears  to  have  forgotten  about  Elmer  Davis 
altogether  or  deliberately  to  have  ignored  him.  The  neglect  can 
scarcely  serve  to  enhance  the  already  somewhat  battered  prestige  of 
OWI.  It  lends  weight  to  the  contention  of  some  critics  that  the 
agency  has  no  essential  function  to  perform.  Certainly  it  cannot 
perform  its  function  effectively  if  it  does  not  enjoy  the  full  con¬ 
fidence  and  intimacy  of  the  President.  Prime  Minister  Churchill  has 
given  an  object  lesson  in  how  to  make  use  of  an  Office  of  War  Infor¬ 
mation.  Mr.  Bracken  serves  at  his  right  hand.  Mr,  Davis  should 
occupy  the  same  position  in  relation  to  the  President,  In  denying 
it  to  him,  Mr.  Roosevelt  deprives  himself  of  an  exceedingly  valuable 
aid  and  instrument. " 


XXXXXXXX 

LOOKS  AS  IF  DREW  PEARSON  HAS  HIT  IT  AGAIN 


The  flash  this  morning  (Tuesday)  that  Mrs.  Roosevelt  was 
in  New  Zealand  came  pretty  close  to  the  prediction  of  Drew  Pearson, 
Blue’s  famous  commentator  last  Sunday  night  that  Mrs,  Roosevelt 
would  take  a  trip  around  the  world  visiting  our  troops, 

Mr,  Pearson's  hitting  it  so  close  seemed  to  be  taken  as  one 
more  Instance  of  his  many  predictions  coming  true.  Another  theory 
was  that  maybe  Drew  had  gotten  wind  of  Mrs,  Roosevelt’ s  flight,  had 
considered  press  censorship  and  the  First  Lady  being  '’a  military 
secret”,  a  lot  of  eye-wash  and  being  pretty  close  to  the  throne,  had 
taken  a  chance  on  breaking  the  story. 

Anyway  it  appears  to  be  another  big  scoop  not  only  for 
Pearson  but  for  the  Blue  Network  and  radio  generally. 

Mr.  Pearson  in  his  Blue  Network  broadcast  Sunday  night 
(August  29,  7  P.M, ,  EWT)  will  give  his  answer  to  "Will  FDR  Run 
Again  ?  ’’ 

XXXXXXXX 

The  enemy  shooting  a  radio  announcer  didn't  make  much  of  a 
hit  with  Claude  Mahoney,  Washington  Blue  network  news  commentator, 

"If  you  don't  like  me,  shut  me  off  or  tell  me  so”,  Mr, 
Mahoney  said  to  his  listeners,  "but  please  don’ t  shoot  me, ” 

XXXXXXXXX 
-  9  - 


•  v/ 


i 


8/27/43 


TRADE  NOTES 


Leon  Henderson’s  salary  as  a  commentator  is  $100,000  a 
year,  according  to  Igor  Cassini  of  the  Washington  Time s-He raid.  If 
that  is  true,  it  was  a  lucky  break  when  they  separated  Leon  from 
his  $15,000  Price  Administrator  Job, 

A  party  will  be  given  by  Frank  M.  Russell,  Vice-President 
of  the  National  Broadcasting  Company  in  Washington,  Tuesday  August 
30th  at  the  Hotel  Statler  to  meet  Morgan  Beatty,  NBC's  London  com¬ 
mentator. 


In  the  181- day  period  from  January  1  through  June  30,1943, 
8,412  CBS  broadcasts  were  devoted  to  some  phase  of  the  war,  accord¬ 
ing  to  a  report  released  by  the  network's  Research  Department,  Since 
some  of  the  broadcasts  treated  more  than  one  war  topic,  10,237  dif¬ 
ferent  war  items  were  included  in  these  8,412  broadcasts,  totaling 
over  1,700  hours. 


WDAK,  Columbus,  Ga,  will  become  affiliated  with  the  Blue 
Network  as  a  supplementary  station  to  the  South  Central  Group  effect¬ 
ive  Sept,  1,  or  as  soon  as  lines  be come  available. 


In  spite  of  materials  shortages  and  the  ban  against 
recording  by  the  American  Federation  of  Musicians,  the  recording 
industry  expects  a  commercial  sale  of  between  75,000,000  and 
90,000,000  discs  this  year,  according  to  Variety.  In  view  of  the 
barriers  to  recording  and  production,  both  of  which  sre  more  than 
a  year  old,  the  Government  clamp  on  shellac  dating  from  April  and 
the  AFM  ban  from  August  1,  1942,  such  sales  figures  are  way  over 
expectations.  Estimate  is  based  on  sales  of  the  first  six  months 
of  this  year. 


Ben  S.  Fisher,  former  Assistant  General  Counsel  for  the 
Federal  Communications  Commission,  was  inducted  as  president  of  the 
Sigma  Chi  fraternity  in  Chicago  Tuesday. 

A  native  of  Anderson,  Ind. ,  Mr.  Fisher  was  graduated  from 
the  University  of  Illinois  Law  School  in  1914,  and  came  to  Washing¬ 
ton  about  13  years  ago  where  he  is  now  a  member  of  the  law  firm  of 
Fisher  &  Way  land. 


KEYS,  Corpus  Christi,  Texas;  KGBS,  Harlingen,  Tesas;  and 
WCED,  DuBois,  Pennsylvania,  will  soon  Join  the  Columbia  network. 


Reports  from  Stockholm  has  ir^iported  that  a  pilotless 
German  "mystery  plane"  crashed  on  the  Danish  island  of  Bornholm  this 
week  and  investigation  revealed  "certain  technical  details"  indicat¬ 
ing  the  plane  was  steered  by  radio  from  the  ground. 


Giving  paper  shortage  as  the  reason,  the  Philadelphia 
Record  and  the  Philadelphia  Inquirer  are  omitting  their  weekly  radio 
columns.  They  will,  hoxvever,  continue  to  print  the  daily  and  Sunday 
radio  logs. 


10 


8/27/43 


The  Federal  Communications  Commission  has  authorized 
Western  Union  Telegraph  Co,  and  Postal  Telegraph  Cable  Co.-  to  file 
tariffs  discontinuing  so-called  Clft  Money  Order  service  during  the 
war  period.  In  abolishing  this  service,  the  Commission  noted  that 
it  was  '’somewhat  of  the  same  nature  as  congratulatory  and  greeting 
messages”  which  have  been  discontinued  by  the  telegraph  carriers  as 
non-essential  services  for  the  duration  of  the  war. 

Money  order  service  at  reduced  rates  will,  however,-  still 
be  available  to  or  from  members  of  the  armed  forces. 

Gift  Money  Order  service  is  a  special  type  of  money  order 
whereby  the  telegraph  company  delivers  to  the  payee  a  special  gift- 
order  form  indicating  that  the  money  is  to  be  used  for  the  purchase 
of  a  gift  desired  by  the  recipient.  The  service  furnished  is  the 
same  as  that  given  under  the  regular  money  order  classification, 
except  that  a  regular  money  order  does  not  specify  the  use  to  be 
made  of  the  money  so  sent. 


It  came  as  a  surprise  to  Joe  Seiferth,  but  President 
Roosevelt  did  turn  down  his  invitation  to  appear  at  the  World 
Premiere  of  Icecapades  of  1944  which  Station  WJZ  will  sponsor, 
September  14th.  Joe,  audience  promotion  manager,  whose  policy  is 
"nothing  but  the  best  for  WJZ",  in  his  invitation  to  the  President 
said,  "We  expect  to  receive  $50,000  per  loge  for  radio,  motion 
picture  and  stage  artists  -  but  we  can  raise  $100,000  per  seat, 
making  a  total  of  $1,400,000,  if  you  and  your  party  will  be  able  to 
attend  on  that  night. 

Maj,  Gen.  Edwin  M,  Watson,  Secretary  to  the  President, 
assured  Joe  that  the  refusal  of  the  invitation  "indicates  no  lack 
of  sympathetic  interest  by  the  President,  who  Joins  with  me  in  wish¬ 
ing  you  every  success  in  this  very  patriotic  undertaking,  "  Seats 
at  the  Icecapades  Premiere  at  Madison  Square  Garden  will  be  sold  to 
war  bond  purchasers,  with  WJZ  expecting  to  raise  at  least  $5,000,000. 


Leading  all  industries  in  the  uptrend  was  the  amusement 
group  which  showed  a  49,3  percent  increase,  reflecting  in  part  the 
enormous  wartime  public  spending  power,  according  to  the  survey  pub¬ 
lished  in  the  current  issue  of  The  Exchange  iJlagazlne.  Only  the 
steel  iron  and  coke  industry,  of  the  19  general  groups  tabulated, 
snowed  a  decline. 

Net  income  of  amusements  for  the  year  was  $20,402,000. 

Next  was  the  automotive  industry  $129,365,000,  showing  a  29,2% 
increase. 


SIMPLE 

Travel  rationed. 

Where  to  go? 

Stay  home  with 
Your  radio. 

-  From  CBS  Radio  Beams 

xxxxxxxxxxxx 

-  11  - 


Heinl  Radio  Business  Letter 

2400  CALIFORNIA  STREET  WASHINGTON,  D.  C. 


r>’-! 


U 

c'Q  ''-■'V/;  '  '  '  '  ^-ij  Pr-f- 


P/ 


INDEX  TO  ISSUE  OF  AUGUST  31,  1943 


Press  Attacks  On  OWI  May  Again  Touch  Off  Congress . 1 

Helping  Hand  Held  Out  To  Relay  Broadcast  Stations . 4 

July  Military  Electronics  Output  $234,000,000;  Not  Enough . 5 

New  Radio  Compass  Aids  With  Planes . . . .5 

Draft  Fraud  Charges  Stir  Up  Another  Big  Fly-Cox  Row . 6 

Pay  Of  Radio  Staffs  Raised  By  V/LB . 7 

CIO  Intervenes  In  Blue  Net  Sale;  Flaram  Loses  WI\iICA  Case,.. . . 

NAB  Hiring  Sam  Rayburn's  Nephew  Seen  As  Political . 

Petrillo  Hyde  Park  Concert  In  Two  Weeks;  Travel  Cut . 

G.  E,  Successfully  Records  66  Minute  Speech  On  Wire . 1 

14  Washington  Broadcasters  To  Aid  War  Loan  Drive . 1 


No, 


1558 


to  CO  CD 


August  31,  1943 


PRESS  ATTACKS  ON  OWI  T.IAY  AGAIN  TOUCH  OFF  CONGRESS 


Surely  no  Government  official  or  agency  have  had  a  worse 
lambasting  from  the  press  than  Elmer  Davis  and  the  Office  of  War 
Information.  Instead  of  dying  down  as  time  goes  on,  the  criticism 
seems  to  keep  up  with  the  result  that  It  appears  to  be  paving  the 
way  for  another  OWI  Congressional  Investigation  or  maybe  something 
worse  when  that  august  body  recovenes  two  weeks  hence.  Already 
Representative  Barry  ( D) ,  of  New  York,  has  announced  that  he  will 
introduce  a  bill  to  abolish  the  OWI  and  transfer  its  activities  to 
the  State  Department,  Representative  Ditter  says  he  will  introduce 
a  bill  to  lop  off  the  Overseas  Branch, 

In  the  meantime,  the  press  continues  its  barrage.  One  of 
the  few  kind  words  this  writer  has  seen,  and  that  was  for  Mr,  Davis 
personally  and  not  for  OWI,  was  by  Raymond  Clapper,  of  Scripps- 
Howard,  who  wrote; 

"When  Elmer  Davis  came  to  Washington  only  a  year  ago,  he 
was  one  of  the  most  respected  of  all  radio  commentators.  He  had 
worked  hard  for  years  to  win  the  confidence  of  people  in  his  integr¬ 
ity,  Judgment  and  ability  as  an  analyst  of  events.  After  having 
achieved  notable  success  by  a  lifetime  of  work,  Mr.  Davis  was  draft¬ 
ed  to  become  Chief  of  OWI, 

"Now,  a  year  later,  Davis  is  bruised,  discouraged,  held  up 
to  savage  attack  in  Congress  and  in  the  press.  And  his  chief  who 
brought  him  here  gives  him  the  rough  brushoff,  and  leaves  him  stand¬ 
ing  alone  and  exposed  to  every  political  brickbat, 

"Doesn’t  Mr.  Roosevelt  know  that  he  is  the  real  target  of 
these  brickbats?  Yet  men  like  Davis  must  stand  out  in  front  and  take 
them  -  and  with  no  protection,  no  support,  no  thanks  from  the  chief 
they  serve.  You  would  not  find  a  better  man  to  head  OWI^  but  that 
would  never  be  suspected  from  the  treatment  Dpvis  receives, 

"Davis  means  nothing  to  me.  But  he  ought  to  mean  some¬ 
thing  to  the  Government, " 

Arthur  Krock  in  the  New  York  Times  attached  considerable 
importance  to  the  fact  that  Davis  was  not  at  Quebec. 

"In  this  capital  where,  as  in  any  other,  political 
courtiers  thrive  better  if  they  know  who  is  falling  from  high  favor 
and  who  is  entering  it,  the  absence  of  Elmer  Davis  from  the  Confer¬ 
ence  of  Quebec  has  attracted  great  attention",  Mr.  Krock  observed. 
"Various  reasons  -  none  ominous  -  can  be  assigned  for  the  President’s 
failure  to  channel  his  information  department  there  through  the 

-  1  - 


8/31/43 


Director  of  the  Office  of  War  Information.  But  the  political 
courtiers  detect  bad  omens;  and  some  disinterested  observers  are 
disposed  to  agree  with  them, 

"When  it  became  known  that  Mr,  Davis  was  not  to  be  a 
part  of  the  President's  Quebec  entourage,  there  was  a  good  deal  of 
private  eyebrow- raising.  But  after  The  Washington  Post  editorially 

asked  the  reasons  for  the  omission,  and  remarked  that  the  President 
seemed  deliberately  to  have  foregone  a  chance  to  restore  prestige 
to  "the  battered  OV/I",  the  discussion  became  open  and  general.  The 
omens  assumed  a  heavier  shadow  when  the  nearest  approach  to  an 
opposite  number  Mr,  Davis  has  in  Great  Britain,  the  Minister  of 
Information,  Brendan  Bracken,  arrived  in  Quebec  and  was  as  helpful 
to  the  press  as  the  circumstances  permitted  him  to  be. 

"l'.ilr.  Bracken  is  both  skilled  and  forthright  in  the  busi¬ 
ness  of  imparting  official  information,  and  his  unbarred  intimacy 
with  the  Prime  Minister  -  a  facility  Mr,  Davis  does  not  enjoy  with 
the  President  -  gives  special  authority  to  what  he  says, 

"The  President,  if  he  chooses,  can  disperse  the  cloud 
that  has  fallen  over  the  OWI  in  this  particular,  and  send  the  profes¬ 
sional  courtiers  on  other  scents  of  favor’s  decay.  With  a  few  words 
of  reasonable  explanation,  should  he  wish  to  take  notice  of  the 
episode,  he  can  remove  from  Mr.  Davis  the  shadow  of  the  doghouse. 

If  he  wishes  to  lift  the  OWI  from  the  slump  of  morale  which  the 
Quebec  incident  and  certain  plainer  misadventures  have  produced  - 
notably  Mr,  Roosevelt's  reprimand  of  its  overseas  branch's  broad¬ 
casts  after  the  fall  of  Mussolini  -  the  President  should  say  those 
few  words  or  authorize  them  to  be  said  for  him.  Congress  is  in  no 
friendly  mood  toward  the  agency,  and  when  new  appropriations  are 
considered  the  OWI  will  need  all  the  help  it  can  get. " 

Referring  to  the  Nicholas  Roosevelt  withdrawal,  the 
Washington  Post  said: 

"In  the  discussion  on  the  appropriation  for  OWI  the  asser¬ 
tion  was  made  that  Mr,  Elmer  Davis  had  done  yeoman  service  in  getting 
war  news  from  the  Army  and  Navy.  That  assertion  seems  to  have  been 
propaganda  having  no  substance.  The  proof  is  afforded  in  Mr, 

Nicholas  Roosevelt's  resignation  from  OV/I,  Mr,  Roosevelt  as  Deputy 
Director  of  OWI  was  daily  responsible  for  getting  news  out  of  the 
armed  services.  His  letter  of  resignation  is  a  long  note  of  frustra¬ 
tion.  He  has  failed  to  develop  the  working  arrangement  with  the 
armed  services  which  was  the  object  of  his  appointment.  All  that  he 
has  to  show  for  a  nine-month  assiduity  for  which  there  is  general 
testimony  are  minor  concessions, 

"It  is  usually  an  excuse  with  the  Array  and  Navy  that 
liaison  officials  at  OWI  do  not  inspire  confidence.  Clearly  such  a 
charge  could  not  be  sustained  at  Mr.  Roosevelt's  expense.  Mr, 
Roosevelt  came  to  the  OWI  with  the  highest  credentials.  An  editor 
of  repute,  a  former  Minister  to  Hungary,  a  Roosevelt,  he  was  an 
ideal  choice  by  Mr.  Davis,  Mr,  Dpvis  must  have  been  pretty  sure 
that  the  armed  services  would  yield  their  confidence  to  such  a  man 


r  v-  •  f 


; 


8/31/43 


as  Mr,  Roosevelt.  But  the  Army  and  Navy  are  not  easily  cajoled  - 
and  cajoled  Is  the  word.  They  would  not  admit  Mr.  Roosevelt  Into 
their  councils  on  Information,  nor  would  they  amplify  and  expedite 
the  flow  of  news  for  OWI  distribution, 

"Mr,  Roosevelt,  In  consequence,  has  passed  the  task  back 
to  Mr,  Davis,  Evidently  he  feels  he  Is  wasting  his  time  and  enejv 
gles.  *So  long*,  he  writes,  *as  the  relations  of  the  Office  of  War 
Information  with  the  War  and  Navy  Departments  rest  solely  on  the 
basis  of  petition  and  suggestion  you,  and  only  you,  in  the  Office 
of  War  Information  can  do  anything  further  to  Improve  the  public 
relations  policies  of  the  Array  and  Navy. ’ " 

The  Washington  Dally  News  said: 

"Future  of  OWI  is  being  debated  backstage  here.  One  plan 
calls  for  putting  the  Foreign  Branch  under  the  State  Department,  or 
War  or  Navy,  Another  calls  for  setting  up  OWI  as  an  Independent 
agency  with  more  authority  Instead  of  less,  after  the  manner  of  the 
British  Ministry  of  Information, " 


Saying  that  Mr,  Davis  Is  getting  ready  to  cushion  new 
Congress  blows  with  a  reorganization  of  his  Bureau,  Helen  Lombard 
of  the  Bell  Syndicate  writes; 

"President  Roosevelt's  broadminded  attitude  toward  the 
vagaries  of  his  subordinates  stretches  very  far.  But  It  Is  likely 
to  stop  suddenly  short  when  they  show  signs  of  becoming  real  polit¬ 
ical  liabilities, 

"With  Congress  already  hot  on  the  heels  of  the  OWI,  Mr, 

Davis  cannot  afford  to  miss  another  opportunity  to  demonstrate  the 
usefulness  of  his  agency, 

II 

"The  new  system  should  be  of  educational  value  to  some  of 
Mr.  Davis*  collaborators,  demonstrating  as  It  does  that  the  Ameri¬ 
can  point  of  view  must  take  precedence  over  the  furthering  of  pe3>- 
sonai  Ideological  slants.  " 

The  Washington  Star  said  there  was  a  growing  belief  that 
Foreign  Branch  of  the  OWI  sooner  or  later  would  have  to  be  placed 
under  the  direction  of  the  Joint  chiefs  of  staff.  The  Washington 

ITlmes-Herald  reported  that  Brig,  Gen,  William  J.  Donovan  had  captured 
the  Foreign  Branch  of  the  OWI  for  his  secret  Office  of  Strategic 
Services, 


XXXXXXXXXX 

In  1942  there  were  41  broadcasting  stations  in  operation 
in  Szechwan  i'rovince,  China,  The  largest  of  these  stations,  with  an 
international  hook-up,  is  located  in  Chengtu. 

XXXXXXXXXX 


—  3 


4» 

'  Vi 


—  A..'  J .  ■ 


8/31/43 


HELPING  HAND  HELD  OUT  TO  BELAY  BROADCAST  STATIONS 


Upon  consideration  of  a  further  report  of  its  Committee  on 
Critical  Radio  Materials,  the  Federal  Communications  Commission 
announced  that  under  certain  enumerated  conditions  it  would  be  in  the 
public  interest  to  authorize  judicious  use  of  idle  equipment  to  in- 
crease  the  power  of  relay  broadcast  stations  when  existing  oower  is 
Insufficient,  to  make  other  changes  in  relay  equipment  to  render 
improved  service,  and  to  construct  new  relay  broadcast  stations  for 
the  following  purposes: 

(a)  To  be  used  as  an  emergency  program  link  between  the  studio 
and  the  main  transmitter  in  case  of  failure  of  the  normal 
wire  lines. 

(b)  To  facilitate  the  transmission  of  programs  in  connection 
with  the  war  effort,  particularly  from  camps  and  other 
places  where  adequate  telephone  line  facilities  are  not 
available  or  where  the  cost  is  prohibitive, 

(c)  To  facilitate  the  broadcast  of  programs  from  remote  points 
where  the  shortage  of  lines  has  made  it  impossible  or 
extremely  difficult  to  obtain  these  facilities. 

Applications  for  authorizations  to  change  facilities  or  to 
construct  new  relay  broadcast  stations  for  the  purposes  set  forth 
herein  may  be  granted  upon  a  satisfactory  showing  that; 

(1)  All  required  materials  may  be  obtained  without  priority 
assistance  for  either  construction  or  maintenance; 

(2)  Such  applications  involve  no  inconsistencies  with  the 
Commission's  Rules  and  Regulations; 

(3)  Such  applications  tend  toward  a  fair,  efficient,  and 
equitable  distribution  of  radio  service,  are  consistent 
with  sound  allocation  principles,  and  offer  substantial 
improvement  in  relay  broadcast  service;  and 

(4)  Such  applications  are  otherwise  in  the  public  interest. 

Applications  to  change  facilities  or  to  construct  new  relay 
broadcast  stations,  which  have  been  dismissed  without  prejudice  pur¬ 
suant  to  the  policy  announced  in  Memorandum  Opinion  of  April  27, 

1948,  may  be  reinstated  for  consideration  in  the  light  of  the  new 
circumstances  upon  the  filing  of  petitions  within  thirty  (30)  days 
of  this  date  showing  (l)  that  such  applications  are  in  conformity 
with  the  foregoing  conditions;  and  (2)  any  and  all  changes  with  res¬ 
pect  to  facts  and  circumstances  given  in  original  applications, 

XXXXXXXX 


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8/31/43 


JULY  MILITARY  ELECTRONICS  OUTPUT  $234,000,000;  NOT  ENOUGH 


Electronics  equipment  requirements  in  the  war  program  are 
mounting  steadily  and  the  electronics  industry  faces  a  fresh  chal¬ 
lenge  in  the  form  of  higher  production  schedules  proposed  for  the 
remainder  of  1943,  Ray  C.  Ellis,  Director  of  the  Radio  and  Radar 
Division  of  the  War  Production  Board,  said  last  Saturday. 

The  actual  output  of  military  electronics  equipment  for 
July  of  this  year  was  $234,000,000  and  to  meet  future  requirements 
the  rate  of  production  of  electronics  equipment  will  have  to  be 
stepped  up  to  the  rate  of  four  billion  dollars  annually  between  now 
and  the  end  of  December,  1943,  Mr,  Ellis  said.  This  figure  would 
Jump  the  monthly  dollar  volume  of  production  to  approximately 
$333,000,000  per  month,  or  nearly  $100,000,000  per  month  increase 
over  the  July  total. 

As  a  further  indication  that  no  ''plateau”  in  production 
totals  for  electronics  is  in  prospect,  Mr.  Ellis  estimated  that  war 
production  needs  to  be  supplied  by  the  industry  will  be  30  to  40  per 
cent  greater  for  1944  than  for  this  yeari 

"The  production  curve  on  military  electronics  equipment 
continues  on  the  upswing,  but  producers,  suppliers  and  contributing 
agencies  must  not  relax  their  splendid  efforts  if  the  requirements 
of  the  armed  forces  are  to  be  met”,  Mr,  Ellis  said, 

"Output  must  be  maintained  and  increased  despite  diffi¬ 
culties  in  the  field  of  critical  components,  experienced  labor  and 
the  other  problems  facing  us",  he  added.  The  electronics  industry 
in  general  has  done  a  fine  Job,  but  it  must  be  prepared  for  even 
greater  efforts  in  the  drive  for  victory, 

"Electronics  equipment  is  serving  in  every  sector  and  in 
every  phase  of  the  war.  Ships,  guns,  planes,  tanks  and  communica¬ 
tions  all  are  dependent  on  the  material  produced  by  the  electronics 
Industry,  and  our  Job  is  to  keep  these  vital  products  flowing  in 
ever-increasing  volume  to  the  war  fronts. " 

xxxxxxxxxx 

NEW  RADIO  COMPASS  AIDS  WITH  PLANES 

A  newly  Invented  radio  compass  (Patent  2,327,640)  alsodiay 
be  of  assistance  with  airplanes.  Its  Inventor  is  Frederick  J, 

Hooven,  of  Dayton,  0.,  and  the  patent  has  been  assigned  to  the  Radio 
Corporation  of  America, 

The  compass  operates  through  a  system  including  a  direc¬ 
tional  receiving  means,  a  non-dlre ctlonal  receiver  and  a  modulator 
responsive  to  the  combined  outputs  of  the  receivers.  By  a  method  of 
computing  the  differences  of  voltages  inducted  by  the  mechanism, 
tabulations  may  be  made  by  which  directions  from  an  airplane  may  be 
found.  This  kind  of  compass  has  an  advantage  over  magnetic  compasses 
in  that,  as  long  as  a  plane  is  within  range  of  sending  stations,  it 
can  establish  its  position  and  direction,  and  provides  an  added 
check  against  the  gyro  comoass  all  large  planes  carry. 

xxxxxxxxx 


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8/31/43 


DRAFT  FRAUD  CHARGES  STIR  UP  ANOTHER  BIG  FLY-COX  ROW 


The  House  FCC  investigators  at  a  subcommittee  meeting 
Monday  in  Washington,  presided  over  by  Representative  Louis  E* 

Miller  (R),  of  St.  Louis,  got  another  big  rise  out  of  Chairman 
James  L,  Fly  of  the  Federal  Communications  Commission  when  Committee 
Counsel  Hugh  Reilly  charged  Mr,  Fly’s  request  for  deferment  of  1,069 
of  his  employees  a  ’’fraud  and  misrepresentation”.  When  this  list 
was  sent  to  the  President,  the  White  House  was  said  to  have  cut  it 
down  to  218. 

FCC  Counsel  Charles  R.  Denny  disputed  the  Committee’s  fig¬ 
ures,  asserting  that  many  named  as  draft  dodgers  were  family  men 
and  that  ’’the  total  number  of  deferments  in  the  entire  Commission 
on  occupational  grounds  in  the  true  sense  is  271”,  while  more  than 
300  of  the  total  of  1,468  male  employees  are  serving  in  the  armed 
forces. 

A  statement  by  Chairman  Fly  that  the  Committee  had  descend¬ 
ed  "to  a  new  low  in  this  latest,  unprincipled  attack  on  loyal,  hard¬ 
working  employees"  was  termed  "contemptuous  of  the  committee  and 
Congress"  by  Attorney  Reilly.  Chairman  Miller  said  he  hoped  the  FCC 
would  refrain  from  trying  its  case  in  the  newspapers  and  promised 
that  a  full  hearing  would  be  given  the  agency  when  "its  turn  came  to 
bat. 


Mr,  Denny  said  that  while  the  FCC  regretted  resorting  to 
the  press,  it  would  do  no  good  to  wait  six  months  or  more  to  get  a 
hearing  before  the  Committee,  "We  want  an  opportunity  to  answer  the 
charges  as  they’re  made",  he  said. 

Mr.  Miller  then  told  Denny  that  "most  assuredly"  an  oppor¬ 
tunity  would  be  given  to  the  FCC  to  testify  before  a  report  was  made. 
Later,  however,  he  told  reporters  tliat  an  Interim  report  might  be 
made  to  the  House  shortly  after  Congress  returns  from  its  recess 
next  month,  but  added  that  the  FCC  would  be  heard  before  any  "final 
report". 


Representative  Miller  declared  that  the  names  of  the 
Government  employees  that  the  FCC  asked  to  have  deferred  should  be 
made  public: 

"If  any  man  now  in  a  bombproof  Government  position  is  hid¬ 
ing  from  military  service,  the  country  ought  to  know  his  name  in 
fairness  to  the  boys  fighting  and  dying  on  the  battle  front.  I  see 
no  reason  for  Immunity  of  identity  in  connection  with  anyone  inten¬ 
tionally  escaping  military  service, " 

But  Committee  attorneys  referred  to  the  numerous  cases 
presented  only  by  number. 

The  case  of  the  chiropodist  was  presented  as  typical. 
Twenty-five  years  old  and  single,  he  was  a  chiropodist  with  his 
father  when  the  draft  board  put  him  in  Class  1-A,  He  fought 


6 


8/31/43 


Induction,  asserting  his  father  and  mother  were  dependents  but  the 
Board,  after  a  lengthy  investigation,  ruled  that  his  father  was  sup¬ 
porting  him. 

The  young  foot- doc tor  applied  for  a  Job  with  the  FCC,  was 
hired  January  12,  1942,  and  on  January  13,  the  following  day,  the 
agency  sought  his  deferment  stating  that  ‘’considerable  time  and 
effort  had  been  expended  in  training  this  man  for  confidential  work”, 

A  frantic  appeal  to  the  FCC  was  wired  by  the  young  man 
and  the  agency  went  over  the  heads  of  the  draft  board  to  national 
headquarters  of  Selective  Service  in  Washington.  Letters  and  memor¬ 
anda  in  the  files  of  the  FCC  showed  that  the  case  was  battled  over 
for  a  year  but  the  FCC  was  finally  victorious  in  gaining  their 
protege  a  classification  in  2B, 

A  third  case  involved  another  21-year-old  youth,  single 
with  no  dependents,  whose  only  previous  employment  had  been  as  a 
shipping  clerk.  The  FCC  asked  for  his  deferment  as  a  specialist  and 
technician  although  the  agency’s  own  files  complained  that  he  did 
not  ’’know  what  it  was  all  about”. 

xxxxxxxx 


PAY  OF  RADIO  STAFFS  RAISED  BY  WLB 


The  War  Labor  Board  last  Saturday  granted  a  10^  salary 
boost  to  announcers,  singers  and  actors  on  the  commercial  programs 
of  the  National  Broadcasting  Co.,  WO R  Program  Service,  Inc.,  the 
Columbia  Broadcasting  System,  Inc. ,  and  the  Blue  Network,  Inc, ,  all 
of  New  York;  Don  Lee  Broadcasting  Co.,  Hollywood;  WON,  Inc,,  and 
Agricultural  Broadcasting  System,  Inc. ,  both  of  Chicago,  The  in¬ 
crease  is  retroactive  to  March  0th, 

The  pay  rise  was  worked  out  under  the  ”Llttle  Steel” 
formula  because  the  parties  in  submitting  their  agreement  for  ap¬ 
proval  stated  that  no  increases  in  rates  for  artists  and  announcers 
employed  on  commercial  programs  had  been  given  since  1940, 

The  American  Federation  of  Ra.dio  Artists,  American  Federa¬ 
tion  of  Labor,  represents  the  employees  who  work  in  the  companies' 
studios  in  New  York,  Chicago,  Los  Angeles,  San  Francisco  and  Holly¬ 
wood, 


XXXXXXXX 

Newspaper  editors  to  be  heard  in  NBC's  second  nationwide 
roundup  of  editorial  opinion,  "The  Editors  Speak”,  on  Sunday, 
September  5  (NBC,  4:30  P,M, ,  EWT) ,  are  Frank  Ahlgren,  editor  of  the 
Memphis  (Tenn, )  Commercial  Appeal;  Eugene  Meyer,  editor  of  the 
Washington  ( D,  C, )  Post;  Louis  B.  Seltzer,  editor  of  the  Cleveland(0) 
Press,  and  Chet  Shew,  l\ila.naging  editor  of  Newsweek, 

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0/01/ 4.5 


CIO  INTERVENES  IN  BLUE  NET  SALE;  FLAIAM  LOSES  mCA  CASE 


The  Federal  Communications  Commission  has  granted  the 
request  of  the  CIO  to  be  allowed  to  intervene  in  connection  with 
the  hearings  on  the  projected  transfer  of  the  three  stations  WJZ, 
WENR  and  KGO  in  the  sale  of  the  Blue  Network  to  Edward  J,  Noble, 
the  candy  king,  and  head  of  the  newly  organized  American  Broadcast- 
Ing  System,  Inc.  The  CIO  hearing  is  scheduled  for  tomorrow  (Wednes¬ 
day,  September  Ist)  in  Washington, 

The  CIO  asked  that  during  the  hearings  on  the  Blue  Network 
transfer,  which  are  scheduled  for  Friday,  September  10th, that  the 
FCC  afford  the  labor  organization  time  to  present  its  grievance 
against  the  National  Association  of  Broadcasters  and  the  radio 
industry  for  not  giving  CIO  all  the  radio  time  it  wants. 

In  reply  to  this,  Neville  Miller,  President  of  the 
National  Association  of  Broadcasters,  had  declared  that  American 
Labor  is  entitled  to  and  has  the  same  access  to  the  facilities  of 
American  broadcasting  stations  as  any  other  individual  or  group. 

The  NAB  president  pointed  out  that  organized  labor  was 
given  more  than  100  broadcasts  on  the  networks  in  1942  and  this 
gesture  by  radio  to  labor  was  heartily  commended  by  William  G-reen, 

A.  F.  of  L,  president,  and  Philip  Murray,  CIO  president. 

In  New  York  Monday  the  Supreme  Court  denied  a  motion  to 
rescind  the  sale  of  Station  WMCA  to  Edward  J.  Noble,  in  an  action 
brought  by  Donald  Flamra,  former  owner  of  the  station,  who  had  charg¬ 
ed  that  he  was  ”an  unwilling  seller  and  was  coerced’*  into  agreeing 
to  the  sale. 

The  radio  property  was  sold  Jan,  17,  1941,  for  1850,000, 
to  Mr,  Noble, 

Mr.  Flamra, in  suing  for  the  return  of  the  station  and  an 
accounting  of  profits,  charged  that  ’’the  defendant  and  his  agents 
represented  to  the  deponent  that  the  defendant,  Edward  J.  Noble, 
was  a  man  of  such  Influential  stature  and  so  powerfully  connected 
politically  that  unless  your  deponent  entered  into  such  a  sale  and 
transfer  he  would  *  *  *  lose  his  license  to  broadcast  and  his  en¬ 
tire  investment.  ” 

In  denying  the  motion  Justice  peck  said: 

"The  trouble  with  the  plaintiff's  case  is  that  he  knew 
all  the  elements  of  the  fraud  except  the  participation  of  his  em¬ 
ployees,  and  he  suspected  that,  before  he  transferred  the  station, 
and  still  he  has  waited  two  and  a  half  years  before  seeking  a  reces¬ 
sion.  " 

Justice  Peck  said  that  the  law  is  clear  that  an  action  for 
recession  of  a  sale  must  be  brought  "promptly  after  discovery  of  the 
fraud,  " 

At  the  hearing  Mr,  Noble  said  that  his  necessity  to  divest 
himself  of  WMCA  "seems  to  have  suggested  to  P^amm  an  opportunity  to 
catch  a  bargain  in  the  name  of  'equitable'  recession  by  asserting 
9-  nuisance  cloud  upon  ray  title.  " 

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8/31/43 


NAB  HIRING  SAM  RAYBURN*  S  NEPHEW  SEEN  AS  POLITICAL 


Appointing  Robert  T.  Bartley,  nephew  of  Speaker  Sam 
Rayburn,  of  Texas,  to  an  executive  position  in  the  National  Associ¬ 
ation  of  Broadcasters,  was  seen  as  a  political  move  on  the  part  of 
the  broadcasters.  Although  Mr.  Bartley  has  been  identified  with 
radio,  having  been  with  the  FCC  and  a  vice-president  of  the  Yankee 
Network  and  his  new  duties  will  be  to  coordinate  war  activities, 
there  seemed  to  be  a  distinct  impression  that  his  addition  to  the 
NAB  staff  at  this  time  might  prove  helpful  in  keeping  in  touch  with 
Capitol  Hill. 

Also  the  NAB  has  Just  appointed  Karl  A.  Smith,  Washington 
attorney,  to  act  as  the  Association’s  legislative  counsel, 

Mr.  Bartley,  who  is  34,  was  assistant  to  Walter  M.  W, 
Splawn,  Special  Counsel  to  the  House  Committee  on  Interstate  and 
Foreign  Commerce  in  1938-33  when  the  Communications  Act  of  1934  was 
being  written.  His  uncle,  Speaker  Sam  Rayburn  of  Texas,  was  then 
Chairman  of  the  Committee, 

Mr.  Bartley,  upon  formation  of  the  FCC  in  1934,  served 
as  the  first  and  only  director  of  its  Telegraph  Division,  In  1937, 
when  the  division  system  was  abolished  by  the  then  Chairman  Frank  R. 
McNinch,  Mr,  Bartley  left  the  FCC.  Afterward,  he  became  senior 
securities  analyst  with  the  Securities  &  Exchange  Commission  in 
Washington,  but  left  in  March,  1939  to  Join  Mr.  Shepard  as  Execut¬ 
ive  Secretary  of  the  Yankee  Network. 

Mr,  Bartley  was  elected  a  Vice  President  of  Yankee  in 
August,  1942,  and  has  served  in  that  capacity  since.  He  has 
resigned  from  the  network  effective  September  25th,  and  will  term¬ 
inate  four  and  a  half  years  with  that  organization, 

Mr.  Smith  will  replace  Russell  P,  Place,  former  counsel, 
now  in  the  service.  He  was  an  attorney  with  the  Federal  Radio  Com¬ 
mission  before  entering  private  practice  with  the  firm  of  Hogan  and 
Hartson  in  Vifashington. 


xxxxxxxx 


PETRILLO  HYDE  PARK  CONCERT  IN  TWO  WEEKS;  TRAVEL  CUT 


James  C,  Petrlllo,  President  of  the  American  Federation 
of  Musicians,  was  quoted  as  saying  that  the  first  of  his  free  sym¬ 
phony  orchestra  concerts  for  people  in  small  places  would  be  given 
by  the  New  York  Philharmonic  at  the  home  of  President  Roosevelt  in 
about  two  weeks. 

At  the  same  time  Mr.  Petrillo  said  that  because  of  short¬ 
age  of  transportation,  they  had  to  cut  a  concert  which  the  Chicago 
Civic  Opera  Company  hoped  to  give  at  Rockford,  Ill,  about  a  hundred 
miles  from  Chicago. 


9  - 


A  •- 


8/31/43 


“Tiie  Mayor  of  Rockford",  Mr.  Petrlllo  said,  "sent  me  a 
telegram  and  it  was  very,  very  bitter.  He  said  that  all  arrange¬ 
ments  had  been  made  for  the  concert  and  that  more  than  100,000 
people  would  be  disappointed.  But  what  can  I  do?  I  can't  carry 
those  musicians  down  there  piggy  back.  I  wired  the  Mayor  he  could 
have  the  musicians  If  he  could  find  a  way  to  get  them  down  there, ” 

Mr.  Petrlllo  added  that  an  Interchange  of  telegrams  with 
Joseph  B.  Eastman,  Director  of  the  Office  of  Defense  Transportation, 
brought  the  verdict  that  It  would  be  Impossible  "to  accord  prior¬ 
ities  of  any  type  to  the  travel  of  orchestras".  He  said,  however, 
that  he  had  wired  another  plea  for  help  to  the  0.  D.  T. 

Mr.  Petrlllo  said  that  the  union  had  agreed  to  the  five 
conditions  laid  down  by  Marshall  Field,  President  of  the  New  York 
Symphony  Society,  for  the  use  of  the  orchestra. 

These  conditions,  which  were  contained  two  weeks  ago  in  a 
letter  to  Mr.  Petrlllo,  were  that  none  of  the  free  performances  be 
broadcast  or  recorded  and  that  programs  presented  by  the  Society's 
orchestra  be  approved  by  the  Society. 

In  the  same  letter,  Mr.  Field  urged  Mr.  Petrlllo  to  lift 
his  year-old  ban  on  the  recording  of  symphony  music.  Mr,  Petrlllo 
said  yesterday  that  the  issue  of  the  recording  ban  was  separate  from 
the  use  of  the  orchestra  for  the  free  concerts.  He  disclosed  that 
he  would  invite  TJr.  Field  and  a  group  of  several  other  symphony 
orchestra  officials  to  attend  the  union's  executive  board  meeting  in 
three  or  four  weeks  to  discuss  the  symphonic  record  ban.  He  said 
that  Mr,  Field  asked  to  attend  such  a  meeting. 

xxxxxxxx 


G.E.  SUCCESSFULLY  RECORDS  66  MINUTE  SPEECH  ON  WIRE 


Sixty-six  minutes  of  continuous  speech  can  be  recorded  on 
11,500  feet  of  hair-like  steel  wire  on  a  spool  no  larger  than  the 
ordinary  doughnut,  in  a  new  type  of  wire  sound  recorder  being  built 
by  GeneralElectric  Company, 

Operating  under  a  license  of  the  Armour  Research  Founda¬ 
tion  in  Chicago,  engineers  in  General  Electric's  laboratory  are  now 
engaged  in  redesigning  the  apparatus  so  that  it  can  be  manufactured 
in  mass  production  to  meet  the  demands  of  both  the  Array  and  Navy. 

The  recorder,  itself,  is  contained  in  a  small  box,  weigh¬ 
ing  about  9  pounds.  It  has  many  wartime  uses,  but  perhaps  none 
more  important  than  in  observation  planes.  Instead  of  the  customary 
pad  and  pencil  now  used  by  pilots  in  making  notes  of  what  they  see 
on  scouting  trips,  they  can  dictate  into  a  small  microphone  Just  as 
the  busy  office  executive  now  uses  a  dictaphone.  Instead  of  the 
observer's  words  being  recorded  on  a  wax  cylinder  they  are  recorded 
magnetically  on  wire  which  is  but  four  one-thousandths  of  an  inch 
in  diameter. 


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Unlike  the  wax  cylinder  which  Is  breakable,  there  Is  no 
apparent  wearout  to  the  wire.  In  fact,  100,000  reproductions  have 
failed  to  alter  Its  quality  in  any  respect. 

When  there  Is  no  longer  any  use  for  the  recordings,  the 
speechcan  be  readily  "wiped  off"  magnetically,  and  the  wire  is  as 
good  as  new  for  future  recordings. 

Magnetic  steel  wire  recording  is  not  a  new  idea.  As  early 
as  1898  Valdamar  Poulson,  a  Danish  scientist,  introduced  the  method 
and  used  it  to  record  high-speed  arc  radio  signals.  However,  suit¬ 
able  amplifiers  were  not  available  at  that  time  and  the  quality  was 
poor.  With  the  new  method  developed  by  Marvin  Camras,  Assistant 
Physicist  of  the  Armour  Institute,  many  changes  have  been  made  and 
the  quality  improved  so  as  to  compare  favorably  with  the  ordinary 
phonograph  records. 

A  recent  report  from  England  stated  that  the  sound  record¬ 
er  is  now  being  used  in  the  war  zones  and  that  "a  fight  talk  of  a 
Flying  Fortress  crew,  attacking  Nazi  airfields  in  France,  was  record¬ 
ed  on  a  small  spool  of  wire,  " 

This  was  brought  back  to  England,  and  according  to  Major 
H.  L.  Nussbaum,  "All  the  conversation  of  the  crew  inside  the 
Fortress  as  well  as  the  sounds  of  battle  were  brought  back  as  an 
oral  record  of  the  66-minute  flight,  " 

xxxxxxxx 


14  WASHINGTON  BROADCASTERS  TO  AID  WAR  LOAN  DRIVE 


Fourteen  representatives  from  the  six  local  radio  stations 
will  comprise  a  Radio  Committee  to  aid  in  raising  the  District’s 
quota  of  $94,000,000  for  the  Third  War  Loan  campaign  which  opens 
September  9th, 

The  representatives  and  their  stations  are  Elinor  Lee, 
Bailey  Axton  and  Howard  Stanley,  of  WTOp;  Carleton  D,  Smith  and 
Fred  Shawn  of  WRC;  Kenneth  H,.  Berkeley  and  Bryson  Rash  of  WAL; 
William  Dolph  and  Charles  Zurhorst  of  WOL;  Bennett  Larson  and  Norman 
Lee  of  WWDC,  and  Lawrence  Heller,  Sa.m  Lauder  and  Jerry  Strong  of 
WINX. 


Many  other  programs  by  each  station  as  well  as  a  ’round- 
the-clock  broadcast  of  special  events  on  the  opening  day,  are  being 
planned.  Listeners  will  hear  again  and  again  throughout  the  cam¬ 
paign  the  slogan  of  the  Third  War  Loan  drive,  "Back  the  Attack  With 
Extra  Bonds",  Other  slogans  to  be  heard  are  "Evey  One  a  Bond  Buyer 
and  Bond  Seller"  and  "Buy  an  Extra  $100  Bond  in  September, 

In  addition  to  aiding  in  the  local  drive,  it  is  felt  that 
radio  will  also  help  in  raising  the  $15,000,000,000  which  is  tte 
national  quota,  through  its  daily  contact  with  millions  of  persons, 

XXXXXXXX 


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Heinl  Radio  Business  Letter 


2400  CALIFORNIA  STREET 


WASHINGTON,  D.  C. 


i. 


INDEX  TO  ISSUE  OF  SEPTaiBER'#,  j;1943 


Next  Round  In  Fly- Cox  Fight  When  Congress  Convenes . 1 

Fly  Flays  Cox  Committee  For  Publishing  Deferments . 3 

Petrillo  War  Labor  Board  Will  Labor  On  Labor  Day 
Zenith  Comes  Through  With  A  Million  And  A  Half,. 

Terrell  Praised  By  FDR;  Turner  To  Succeed  Him... 


Petrillo  N.Y.  Hearing  Date  Changed  To  Tuesday,  Sept,  7 
Radio  I^Janufacturers  To  Organize  New  Planning  Board,  . . . 

Reduction  In  Laminated  Plastic  Cost . 

Frank  M.  Russell  Host  To  Morgan  Beatty  In  Capital..... 

Sevareid  Tells  Story  From  Burma  Wilds  With  Hand  Set,.. 
New  Wage  Order  Includes  Radio  Manufacturers . 


FCC  Orders  Investigation  Of  "High”  Press  Wireless  Rates . 10 

Trade  Notes . 10 


No.  1559 


coco  ODOD  -0-0  Oi  OiOi 


NEXT  ROUND  IN  FLY-COX  FIOHT  WHEN  CONGRESS  CONVENES 


Although  there  may  be  considerable  shadow-boxing  on  both 
sides  the  indications  were  at  the  closing  session  of  the  subcommit¬ 
tee  headed  by  Representative  Lewis  E.  Miller  (R),  of  St,  Louis  last 
Tuesday  that  the  big  fight  between  Representative  Eugene  Cox  (D), 
of  Georgia,  and  Chairman  James  L.  Fly  in  the  FCC  investigation,  will 
not  be  renewed  until  Congress  convenes  week  after  next.  At  that 
time,  Representative  Cox  said  he  would  put  in  a  preliminary  report. 
Also  it  is  expected  that  bills  will  be  Introduced  in  both  the  House 
and  the  Senate  to  transfer  all  work  now  being  done  by  the  FCC  to 
the  Amy, 

If  this  action  is  taken,  the  slugging  will  be  immediately 
renewed  by  Mr,  Fly  who  as  yet  has  not  been  given  an  opportunity  to 
testify.  As  is  well  known,  however,  by  replying  to  the  Committee 
with  press  statements,  he  has  been  getting  more  publicity  than  if  he 
had  been  allowed  to  take  the  witness  stand.  Not  since  his  old  enemy 
on  the  Power  Commission  Wendell  Willkle  resorted  to  the  same  tactics 
in  the  moving  picture  hearings  at  the  Capitol  several  years  ago  has 
anybody  proven  so  good  at  it  as  Mr.  Fly.  A  laughable  feature  of  the 
hearings  is  that  each  side  continually  accuses  the  other  of  "trying 
his  case  in  the  newspapers ",  The  radio  people  who  have  the  most  at 
stake  in  the  outcome  of  the  case  have  been  silent  fearing  to  become 
involved  in  a  controversy  which  might  Jeopardize  the  renewal  of 
their  licenses  by  the  FCC. 

Also  watching  his  step  has  been  Neville  Miller  of  the 
National  Association  of  Broadcasters,  whose  row  with  Fly  almost  cost 
him  his  $35,000  Job  as  President  of  the  Association  and  may  still  do 
so  next  June  if  Mr.  Fly  comes  out  on  top  in  the  present  scrimmage. 

For  the  first  time  since  the  House  Committee  began  inquir¬ 
ing  into  the  300  alleged  draft  evasions  in  the  FCC  the  names  of  39 
of  the  employees  were  divulged  last  Tuesday,  This  was  done  under 
the  orders  of  Chairman  Miller  who  said  "there  is  no  reason  in  the 
world  why  the  identity  of  those  seeking  deferment  should  not  be  made 
public,  " 


Some  50  names  were  revealed.  Almost  all  were  in  their 
twenties,  single,  with  no  dependents,  and  had  passed  physical  exami¬ 
nations,  Deferments  were  obtained  for  them  on  FCC  representations, 
termed  false  by  Committee  Counsel  Hugh  Reilly,  that  they  were  "in¬ 
dispensable"  men. 

Many  had  been  hired  but  a  few  days,  it  was  alleged,  when 
the  agency  Informed  their  draft  boards  that  much  time  and  effort  had 
been  spent  in  giving  them  specialized  training.  The  name  of  Presi¬ 
dent  Roosevelt  was  frequently  invoked  in  these  letters  to  draft 
boards  as  authorizing  deferments  of  "highly  skilled"  men. 


1 


-I 


9/3/43 


One  name  was  withheld  from  the  record.  It  was  that  of  a 
24-year-old  man  who  had  formerly  served  three  years  In  the  Army  as  a 
radio  operator.  Summoned  for  examination  in  1942,  he  told  his 
draft  board  that  he  was  ’’not  proud”  of  his  Army  service  and  found 
himself  ”incompatible  with  its  philosophy  and  way  of  life”.  The 
Board  referred  the  case  to  the  FBI  for  investigation. 

This  man  was  meanwhile  employed  by  the  FCC  and  his  defer¬ 
ment  was  requested  on  the  ground  that  he  was  ’’engaged  in  highly  con¬ 
fidential  work  of  extreme  importance  to  the  war  effort”.  Shocked, 
the  draft  board  reported  to  the  FCC  what  ittermed  his  "un-American 
attitude  ", 

Asked  for  an  explanation,  the  young  man  spoke  of  "foul- 
mouted  drunkards”  in  the  Army  and  said  he  had  been  "ashamed  of  his 
uniform”.  The  draft  board  refused  his  deferment,  the  FCC  appealed, 
and  then  the  young  man,  in  July  of  this  year  enlisted  in  the  Merchant 
Marine, 


The  case  of  Robert  P.  Wiebers,  24  years  old,  of  Bismarck, 

N.  D.  ,  an  ex-bell  hop,  single,  with  no  dependents,  was  given  in 
detail.  His  brother,  Morton  W,  C,  Wiebers,  Monitoring  Officer  in 
the  Fargo,  N*D,  office  of  the  FCC,  recommended  him  for  a  FCC  job  and 
also  warned  that  his  deferment  should  be  sought  immediately  because 
he  was  near  induction. 

The  brother's  letter  was  marked  "Please  rush  Civil  Service 
approval  for  this  boy”  in  the  Washington  office  of  the  FCC.  Employ¬ 
ed  September  16,  1942,  the  FCC  on  the  same  day  wrote  his  draft  board 
that  he  had  received  "intensive  training”  and  should  be  "deferred 
as  an  "indispensable”  man  who  could  not  be  replaced  by  an  older  man 
or  woman.  The  draft  board  granted  him  a  classification  in  2B,  but 
on  July  21  put  him  back  in  lA, 

"That  is  a  scandalous  record”,  commented  Counsel  Reilly, 
"These  cases  may  be  one  of  the  reasons  wiiy  we  are  being  forced  to 
draft  fathers, ” 

Counsel  for  the  special  House  Committee  placed  in  the 
record  figures  to  bear  out  their  contention  that  1*79  of  the  employees 
for  whom  the  Commission  sought  draft  deferments  were  men  who  had 
gained  their  radio  experience  in  the  various  armed  services, 

Ray  Osborne,  a  Committee  investigator,  said  that  out  of 
391  employees  the  Commission  asked  draft  boards  to  defer,  33  had 
obtained  their  knowledge  of  radio  in  the  Army,  81  in  the  Navy,  5  in 
the  Coast  Guard,  7  in  the  Marines  and  53  in  the  Ivlaritime  Service, 

The  Committee  staff  also  singled  out  40  or  more  specific 
cases  in  which  they  questioned  the  wisdom  of  the  Commission's  action 
in  asking  for  occupational  deferments.  They  sought  to  show  that  in 
27  cases  deferments  were  recommended  by  the  Commission  within  10  days 
after  employees  started  to  work,  and  in  58  cases  within  30  days, 

XXXXXXXXXX 
-  2  - 


\  r 


A;'  b.r 


9/5/43 


FLY  FLAYS  COX  COMMITTEE  FOR  PUBLISHING  DEFEBMENTS 


As  had  been  expected,  James  L,  Fly,  Chairman  of  the 
Federal  Communications  Commission,  lost  no  time  in  counter^— attack¬ 
ing  when  the  Cox  Committee  “named  names'*  in  connection  with  charges 
made  against  draft  exempt  employees.  In  an  effort  to  prove  his 
point,  Mr,  Fly  furnished  a  case  history  of  each  and  every  one  of  the 
39  employees  whose  names  were  made  public.  Chairman  Fly  was  backed 
up  by  FGC  Commissioner  Clifford  J.  Durr  and  the  National  Association 
of  Broadcasters,  whose  headquarters  said  that  scores  of  technicians 
have  been  exempted  from  the  draft  throughout  the  nation  in  the 
interest  of  public  morale, 

Mr,  Fly  said: 

“The  American  ideal  of fair  play  took  a  terrible  kicking 
around  at  Tuesday’s  hearing  when  the  Cox  Committee  made  public  the 
names  of  39  employees  in  the  Commission’s  Engineering  Department  who 
have  been  deferred  and  then  refused  to  permit  the  Commission  to  put 
in  the  record  the  full  facts  concerning  them. 

“The  House  Committee  on  Military  Affairs  (Costello  Com¬ 
mittee)  some  time  ago  established  the  precedent  of  not  making  public 
the  names  of  deferred  government  personnel.  That  Committee  obvious¬ 
ly  was  conscious  of  the  danger  of  unjustly  tagging  as  draft  dodgers 
persons  who  because  of  their  special  skills  had  been  called  upon  to 
serve  their  Government  in  a  civilian  capacity. 

“However,  the  Cox  Committee  disregarded  this  salutary  pre¬ 
cedent  and  then  added  insult  to  injufy  by  telling  only  part  of  the 
story  and  refusing  to  permit  the  Commission  to  tell  the  rest, 

“In  fairness  to  the  individuals  concerned,  I  am  releasing 
brief  summaries  of  the  pertinent  facts  as  to  each  of  the  39  cases 
which  the  Cox  Committee  made  public, 

“These  summaries  show; 

1.  Ten  of  the  men  branded  as  draft  dodgers  are  today  in  the 
military  service.  Four .more  are  awaiting  induction, 

2.  Another  nine  men  are  on  duty  with  the  Commission  in  Hawaii. 
Eight  of  these  have  the  unique  ability  to  receive  the 
Japanese  Kana  Code  which  has  three  times  as  many  characters 
as  our  alphabet.  All  of  these  men  are  rendering  assistance 
in  aiding  Array  bombers  lost  over  the  Pacific  -  a  service 
which  the  Chief  of  Staff  of  the  Seventh  Air  Force  Command 
declared  on  May  15  of  this  year  to  be  ’absolutely  necessary 
to  the  successful  operation  of  the  Army’s  lost  plane  pro¬ 
cedure  in  the  Hawaiian  area. ’ 

3.  The  other  16  are  assigned  to  the  Commission’s  monitoring 
stations  throughout  the  United  States  and  are  loyally  and 
efficiently  serving  our  country  by  keeping  its  air  lanes 


-  3  « 


9/3/43 


3,  (Cont’d)  free  of  fifth  column  radio  activity.  In  each 
of  these  cases  it  has  been  determined  in  accorda.nce  with 
National  Selective  Service  policy  that  these  men,  because 
of  their  special  skills,  can  best  serve  the  war  effort  in 
this  civilian  capacity. 

4,  Eleven  were  not  subject  to  the  draft  at  the  time  they  were 
employed  by  the  FCC,  Eight  were  employed  at  a  time  when 
they  were  not  in  a  Selective  Service  classification  subject 
to  induction.  Three  were  employed  before  the  Selective 
Service  Act  became  effective.  Another,  while  classified  as 
1-A,  is  clearly  disqualified  for  physical  reasons.  Still 
another  was  employed  but  four  months  before  he  became  too 
old  for  military  service. 

5,  All  39  have  outstanding  radio  qualifications  for  the  Com¬ 
mission's  work.  Thirty-three  of  them  held  radio  operator 
licenses  before  coming  with  the  Commission,  20  having  both 
commercial  and  amateur  licenses.  This  requires  extensive 
knowledge  of  radio  theory  and  operating  practices.  Almost 
without  exception  these  men  can  receive  International  Morse 
code  at  speeds  ranging  from  25  to  40  words  per  minute. " 

Commissioner  Durr  said  the  deferred  men  are  largely 
employees  of  the  Commission  Engineering  Department  in  monitoring  ser¬ 
vice, 

"Some  of  these  men  are  familiar  with  operations  of  Japan¬ 
ese  radio  stations  and  their  codes",  Mr.  Durr  said.  "It  took  trem¬ 
endous  time  to  train  them  and  while  their  peace-time  duties  were  to 
watch  for  unlicensed  stations  or  regulation  infractions,  their  war¬ 
time  work  is  more  important  and  they  constitute  a  vital  war  function. 
The  FCC  has  requested  no  deferments  for  other  workers, " 

At  the  office  of  Neville  Miller,  President  of  NAB,  it  was 
said  that  broadcasters  throughout  the  nation  had  requested  and  ob¬ 
tained  deferments  for  scores  of  essential  technicians,  but  that  of 
the  500  employed  in  the  industry  75  percent  at  present  were  in  armed 
services  and  women  are  being  trained  to  replace  those  deferred. 

The  radio  Industry  is  classified  as  essential  and  such 
Information  as  weather  news,  emergency  warnings  and  even  recruiting 
bulletins  could  not  be  put  on  the  air  without  help  from  the  engi¬ 
neers,  technical  supervisors  and  repairmen,  he  said, 

XXXXXXXX 

A  local  broadcasting  station  has  been  established  in 
British  Somaliland,  the  Commerce  Departr'ient  reports.  Known  as 
Radio  KUDU,  the  station  broadcasts  short  programs  dally  in  the  nat¬ 
ive  language. 


XXXXXXXX 


-  4  - 


9/3/43 


PETRILLO  WAR  LABOR  BOARD  WILL  LABOR  ON  LABOR  DAY 


Labor  Day  to  the  contrary  notwithstanding,  the  trl-partite 
panel  of  the  National  War  Labor  Board  will  begin  hearings  in  New 
York  that  day  (Monday,  September  6)  in  connection  with  the  disoute 
between  James  C*  Petrillo  and  his  American  Federation  of  Musicians, 
and  the  electrical  transcription  companies.  The  panel  will  endeavor 
to  arrive  at  some  agreement  for  the  resumption  of  manufacturing 
broadcast  station  recordings. 

The  members  of  the  panel  are  Gilbert  E,  Fuller,  President 
of  the  Raymond  Whitcomb  Company  of  Boston,  Arthur  S,  Meyer,  Chair¬ 
man  of  the  New  York  ffcdlatlon  Board,  and  Max  Zaritsky,  President  of 
the  United  Hatter,  Cap  and  Millinery  Workers,  AFL.  Mr,  Meyer  will 
serve  as  Chairman  and  represent  the  public. 

XXXXXXXX 


ZENITH  COLES  THROUGH  WITH  A  MILLION  AND  A  HALF 


At  the  close  of  the  fiscal  year,  the  Zenith  Radio  Corpora¬ 
tion  made  a  net  profit  of  $1,507,927  equal  to  $3.06  per  share. 

Voluntary  refunds  and  price  reductions  were  $6,995,141  on 
Government  contracts  and  additional  renegotiation  settlement  refund 
of  $8,600,000  (or  total  refunds  $15,595,141),  and  profits  for  the 
year  amounted  to  $4,361,540  which,  after  deduction  for  Federal  in¬ 
come,  excess  profits,  and  capital  stock  taxes  totalling  $2,853,613. 
The  Company  has  operated  at  a  profit  for  the  past  ten  consecutive 
fiscal  years  and  has  paid  dividends  of  one  dollar  per  share  during 
each  of  the  past  seven  fiscal  years. 

Zenith  continues,  as  in  the  past,  to  participate  in  the 
war  effort  on  a  large  scale  in  all  departments,  E.  F,  McDonald,  Jr.  , 
President,  reported.  ’’Our  activities,  confined  to  the  radlonic 
field  (Radio,  Radar  and  Electronics)  are  many  and  varied  and  the 
apparatus  being  produced  is  most  vital  and  highly  technical.  The 
Company  is  engaged  extensively  in  the  development  and  production  of 
certain  types  of  radionlc  equipment  generally  referred  to  as  ‘Radar’ 
Because  the  management  is  confident  that  due  credit  will  be  given  to 

the  Company  for  the  important  part  it  is  playing  in  this  development 

we  have  not  seen  fit  to  publicize  the  extent  of  our  accomplishments 
in  this  connection  while  the  war  is  still  in  progress, 

"Shipments  for  the  current  fiscal  year  to  date  and  orders 
on  hand  for  shipment  during  the  balance  of  the  year  are  considerably 
in  excess  of  one  hundred  million  dollars. 

"in  1941  the  Signal  Co2?ps  was  endeavoring  to  find  a  solu¬ 
tion  to  the  patent  and  resulting  royalty  situation.  Under  a  plan 

proposed  by  your  management,  the  Government  obtained  free  licenses 
for  the  duration  of  the  war  from  all  but  three  or  four  of  the  com¬ 
panies  manufacturing  radionic  equipment,  under  the  patents  owned 

-  5  - 


9/3/43 


or  controlled  by  those  companies.  As  a  result  of  Zenith’s  own 
contribution  and  suggested  proposal  the  Government  has  been  saved 
many  millions  of  dollars  in  royalty  payments  on  radionic  patents. 
For  this  contribution  the  Company  received  official  recognition. ” 

Zenith’s  subsidiary,  Wincharger  Corporation,  Sioux  City, 
Iowa,  has  converted  its  plant,  almost  entirely,  to  the  war  effort. 
It  is  designing  and  producing  dynamotors  on  a  large  scale  for  use 
with  tanh  and  aircraft  radio  equipment,  also  flight  Instruments  and 
secret  devices  in  connection  with  Radar. 

xxxxxxxx 


TERRELL  PRAISED  BY  FDR;  TURNER  TO  SUCCEED  HIM 


In  addition  to  a  personal  letter  of  thanks  from  President 
Roosevelt,  William  D.  Terrell,  the  first  Radio  Inspector  in  the 
United  States,  who  is  retiring  after  40  years  of  service  in  the  com¬ 
munications  field,  was  also  tendered  a  dinner  by  his  associates 
headed  by  E,  K.  Jett,  Chief  Engineer  of  the  Federal  Communications 
Commission,  and  presented  with  an  engraved  watch  from  field  service 
workers  and  a  silver  tray  from  office  co-workers  and  friends. 

As  had  been  expected,  George  S.  Turner,  who  has  been 
Assistant  Chief  of  the  Field  Division  of  the  Engineering  Department 
since  1940,  was  appointed  to  succeed  Mr,  Terrell, 

The  letter  from  the  President  read; 

"Dear  Mr,  Terrell: 

"I  take  the  occasion  of  your  retirement  from  Federal  service 
to  convey  to  you  ray  thanks  and  gratitude  for  the  forty  years'  ser¬ 
vice  in  the  field  of  governmental  radio  services, 

"You  can  well  be  proud  of  the  record  you  have  made, 

"Very  sincerely  yours, 

(Signed)  "Franklin  D.  Roosevelt" 

Mr,  Turner,  a  native  of  Independence,  Mo.,  has  the  degrees 
of  Bachelor  and  Master  of  Law  from  the  Atlantic  Law  School  in 
Atlanta,  Ga,  During  World  War  I  he  served  as  radio  instructor  at 
the  Great  Lakes  Naval  Training  Station  and  was  subsequently  commis¬ 
sioned  Ensign  in  the  Volunteer  Naval  Reserve, 

After  the  war,  Mr,  Turner  became  the  original  radio- 
operator-engineer  at  Station  9XAB,  Kansas  City,  Mo. ,  one  of  the 
first  experimental  radio  broadcast  stations  in  the  Middle  West,  and 
in  1921  was  employed  by  the  Southwestern  Bell  Telephone  Co.  in 
Kansas  City,  From  1924  to  1931  he  served  with  the  Department  of 
Commerce,  first  as  a  Radio  Inspector  and  later  as  Assistant  Radio 


6 


9/3/43 


Supervisor  of  the  R^^dio  Division.  Mr.  Turner  came  with  the  Federal 
Radio  Commission  in  1931  as  Radio  Inspector  in  Charge  at  Atlanta, 

He  is  a  member  of  the  Institute  of  Radio  Engineers  and  the  Georgia 
bar. 


xxxxxxxx 


PETRILLO  N.Y.  HEARING  DATE  CHANGED  TO  TUESDAY,  SEPT.  7 


Waking  up  to  the  fact  a  trifle  late  that  they  had  called 
the  Petrillo  hearing  panel  in  New  York  on  Labor  Day  (see  our  earlier 
story  on  page  5),  the  War  Labor  Board  decided  not  to  labor  on  labor 
day  and  changed  the  time  of  the  meeting  to  Tuesday,  September  7th, 

When  the  WLB  was  asked  Thursday  by  this  news  service  if 
some  mistake  had  not  been  made  and  if  they  had  noticed  their  meet¬ 
ing  date  fell  on  Labor  Day,  the  reply  was:  "Oh,  yes  -  but  we  work 
Labor  Day  and  every  other  day, "  Nevertheless  a  change  of  the  time 
of  the  meeting  was  made  later. 

xxxxxxxxx 


RADIO  MANUFACTURERS  TO  ORGANIZE  NEW  PLANNING  BOARD 


The  biggest  turnout  of  manufacturers  since  the  last  annual 
convention  will  be  in  attendance  at  an  industry  gathering  to  be 
held  in  New  York  City  September  15  and  16  by  the  Radio  Manufacturers’ 
Association. 

President  Galvin  has  called  a  meeting  of  the  entire  FMA 
Board  of  Directors  September  16th,  co-incident  with  the  meeting 
arranged  on  the  previous  day  by  the  Manufacturers'  Association  and 
the  Institute  of  Radio  Engineers,  to  organize  the  new  Radio  Techni¬ 
cal  Planning  Board, 

There  will  be  a  morning  meeting  of  the  entire  RMA  Set 
Division,  of  which  R.  C.  Cosgrove  of  Cincinnati  is  Chairman,  and  a 
following  afternoon  meeting  of  the  new  special  RI^HA  Postwar  Planning 
Committee,  also  headed  by  Mr,  Cosgrove.  Also  on  September  15th, 
there  will  be  a  meeting  of  the  Executive  Committee  of  the  Parts 
Division  of  which  Ray  F,  Sparrow,  of  Indianapolis,  is  Chairman,  Dur¬ 
ing  the  following  week  a  meeting  of  the  Transmitter  Division’s 
Executive  Committee,  of  which  the  Chairroan  is  G,  W.  Henyan,  of 
Schenectady,  is  scheduled. 

Organization  of  the  Radio  Technical  Planning  Board,  whose 
work  will  be  related  to  that  of  the  RI\IIA  Postwar  Planning  Committee, 
will  Include  representatives  from  several  broadcasting,  scientific 
and  other  radio  organizations.  The  RTPB  luncheon  meeting  will  be 
confined  to  representatives  of  the  various  industry  g roups  and  will 
be  presided  over  jointly  by  Chairman  A.  S. Wells  and  Chairaan  Haraden 

xxxxxxxx 

-  7  - 


V 


9/3/43 


REDUCTION  IN  LMINATED  PLASTIC  COST 


The  cost  of  laminated  plastic  sheets,  rods  and  tubes, 
important  material  used  in  the  manufacture  of  electrical  equipment, 
radio  and  many  other  vital  war  items,  will  be  reduced  about  10  per¬ 
cent  effective  as  of  September  1st,  the  Office  of  Price  Administra¬ 
tion  announced  last  Tuesday, 

OPA  stated  that  10  manufacturers  in  the  industry,  account¬ 
ing  for  virtually  the  entire  $72,000,000  annual  production,  have 
agreed  to  restore  price  levels  that  prevailed  in  1939  and  1940.  Blost 
of  the  manufacturers  have  signed  Individual  voluntary  agreements 
formalizing  the  new  schedule  of  prices.  The  reduction  will  be  effect¬ 
ed  by  cancelling  a  price  increase  of  10  percent  announced  generally 
by  the  industry  early  in  1941  and  which  was  reflected  in  current 
maxlmums  established  under  Maximum  Price  Regulation  No,  406, 

General  Manager  Chester  Bowles  comn^nded  the  spirit  of 
cooperation  shown  by  the  manufacturers  and  praised  the  industry  for 
its  action  in  voluntarily  lowering  prices  at  a  time  when  productive 
capacity  cannot  keep  pace  with  the  demand  for  laminates.  Mr.  Bowles 
pointed  out  that  OPA  suggested  the  reduction  as  a  means  of  reducing 
the  cost  of  the  war  and  was  part  of  the  general  fight  against  infla¬ 
tion,  since  the  cost  and  subsequent  prices  on  many  articles  in  which 
the  laminates  are  used  will  be  reduced. 

The  lowered  prices  will  result  in  large  savings  to  the 
government  on  direct  purchases  and  still  larger  savings  on  articles 
in  which  laminates  are  used  and  which  are  bought  almost  solely  by 
the  government.  The  new  prices  of  sheets,  rods,  and  tubes  will  be 
reflected  in  lowered  prices  for  parts  and  equipment  made  from  these 
snapes  under  a  new  regulation  now  being  prepared,  OPA  stated. 

The  laminates  industry  has  almost  entirely  shifted  to  the 
production  of  war  items,  particularly  for  parts  in  aircraft,  motor 
vehicles,  and  ships  in  addition  to  radio  and  electrical  equipment. 
Laminates  have  taken  an  increasingly  important  role  in  war  production 
because  they  combine  in  one  material  the  advantages  of  light  weight, 
high  strength  and  excellent  insulating  qualities, 

XXXXXXXX 

FRANK  M.  RUSSELL  HOST  TO  MORGAN  BEATTY  IN  CAPITAL 

As  the  guest  of  Frank  M.  Russell,  Vice-President  of  the 
National  Broadcasting  Coraoany  in  Washington,  Morgan  Beatty,  NBC* s 
#1  commentator  in  London,  was  greeted  by  many  Capital  nublic  rela¬ 
tions  notables  at  the  Statler  last  Tuesday, 

The  list  included  Maj,  Gen.  Alexander  D,  Surles,  Director 
of  the  War  Department  Bureau  of  Public  Relations;  Lieut.  Col,  Edward 
Kirby,  of  the  War  Department;  Frank  Mason,  Assistant  to  the  Secret¬ 
ary  of  the  Navy;  Rear  Admiral  Joseph  Redmond,  U.  3.N.;  Capt,  Leland 
Lovette,  Brig,  Gen.  Denig,  U, S.  Marine  Corps;  Byron  Price,  Director 
of  Censorship;  J,  H.  Ryan,  Assistant  Director  of  Censorship;  Michael 
McDermott,  State  Department;  Palmer  Hoyt,  Director  of  Domestic 
Bureau,  OWI;  and  Carleton  D,  Smith,  Manager  of  WRC. 

XXXXXXXX 


-  8  - 


9/3/43 


SEVAREID  TELLS  STORY  FROM  BUmiA  WILDS  WITH  HAND  SET 


An  Aray  radio  handset  dropped  to  a  party  of  21  thought  to 
have  been  lost  In  the  Burmese  wilds  in  a  plane  crash,  enabled  Eric 
Sevareid,  CBS  correspondent  to  tell  their  thrilling  story  and  of  the 
kind  treatment  by  headhunters.  They  have  been  marooned  there  since 
August  2nd. 


"I  am  grinding  this  out  on  a  hand-crank  wireless  set 
dropped  to  us  by  one  of  the  rescue  planes  of  the  air  transport  com¬ 
mand",  Mr.  Sevareid  radioed,  "We  are  in  a  village  of  aborigines 
perched  atop  of  one  of  the  6000  foot  mountains, " 

Mr.  Sevareid  landed  O.K.  armed  only  with  a  pen-knife. 

"A  short  distance  away  I  found  our  plane's  radio  oper¬ 
ator,  Sergt.  Walter  Oswald,  of  Ansonia,  Ohio",  the  radio  correspond¬ 
ent  continued,  "His  leg  was  broken,  I  tried  to  make  a  splint  and 
bandage  his  leg  with  the  silk  of  his  parachute.  It  wasn't  a  very 
professional  Job  but  he  was  able  to  hobble  with  me  to  the  wreckage 
of  the  plane,  where  we  both  collapsed,  exnausted  and  frightened, 

"Until  the  very  last  moment  in  those  sickening  minutes 
before  the  plane  crashed.  Sergeant  Oswald  had  stuck  to  his  radio. 
While  we  were  bailing  out  he  sat  frantically  sending  out  messages  of 
our  position  and  calling  for  help, 

"His  appeals  had  been  heard,  for  within  an  hour  after 
our  crash  a  plane  appeared  overhead.  We  knew  then  we  weren't  com¬ 
pletely  lost, 

"Slowly  the  members  of  our  party  collected  on  a  trail 
near  an  aborigine  village.  The  group,  including  Davies,  landed  on 
the  other  side  of  our  mountain.  Before  we  were  assembled,  I  could 
hear  natives  yelling  in  strange  Jargon  along  the  trail,  I  was  un¬ 
armed  -  except  for  the  pen-knife  -  so  I  rushed  to  the  side  of  our 
pilot,  who  had  a  pistol, 

"But  the  natives  came  bearing  food  and  drink.  They  led 
us  to  their  village  where  they  killed  goats  and  pigs  for  us.  These 
aborigines  became  our  devoted  friends, " 

XXXXXXXXX 

NEW  WAGE  ORDER  INCLUDES  RADIO  MNUFACTURERS 

A  general  40'!^  minimum  wage  order  which  has  been  issued  by 
the  Wage  and  Hour  Division,  Department  of  Labor,  and  which  includes 
radio  and  most  related  manufacturers,  becomes  effective  September  13, 
The  order  applies  alike  to  male  and  female  workers,  the  Radio  Manu¬ 
facturers'  Association  has  been  advised. 

In  addition  to  factory  workers  the  order  applies  to  cleri¬ 
cal,  maintenance,  shipping  and  selling  occupations,  but  exempts  such 
workers  in  separate  wholesale  or  sales  departments, 

XXXXXXXXX 


-  9  - 


9/3/43 


FCC  ORDERS  INVESTIGATION  OF  "HIGH”  PRESS  WIRELESS  RATES 


The  Federal  Communications  Commission  in  considering  its 
Proposed  Report  of  June  22n,  1943  on  the  investigation  of  Press 
Wireless  rates  for  ordinary  press  service  between  the  United  States 
and  China,  and  noting  therein  the  high  rate  of  earnings  of  Press 
Wireless,  ordered  a  general  Investigation  of  Press  Wireless*  rates 
and  charges  for  communications  services.  Press  Wireless,  respondent 
to  the  investigation,  was  ordered  to  appear  and  show  cause  why  the 
Commission  should  not  find  its  existing  rates  and  charges  unjust  and 
unreasonable  and  why  the  Commission  should  not  order  an  interim  redu¬ 
ction  in  rates  pending  conclusion  of  the  proceedings. 


The  Commission  further  stipulated  that  Press  Wireless  file 
its  answer  to  the  Order  by  September  20,  1943,  and  designated  the 
matter  for  public  hearing  in  feshington  October  20,  next, 

xxxxxxxx 


I ; : :  TRADE  NOTES  : ; : : 


After  denying  a  previous  petition  by  Donald  Flamra,  former 
owner  of  WMCA,  New  York,  Justice  David  W.  Peck  Tuesday  signed  an 
order  Tuesday  for  a  rehearing  of  argument  on  Donald  Flamm's  petition 
for  an  injunction  restraining  Edward  J.  Noble  from  disposing  of 
Station  WMCA,  pending  trial  of  Mr.  Flamm's  suit  for  a  recisslon  of 
the  sale  contract  on  the  station.  The  Justice  stated  that  he  desir¬ 
ed  to  go  more  deeply  into  the  question  as  to  when  Mr.  Flamm  really 
obtained  proof  that  fraud  had  been  involved  in  the  deal. 


There  is  a  report  that  OWI  is  contemplating  the  erection  cf 
three  200,000  watt  short-wave  transmitters  in  the  vicinity  of  San 
Francisco  to  cover  the  Far  East  and  that  the  Government  will  estab¬ 
lish  a  precedent  by  operating  them.  Also  that  a  similar  battery 
would  be  installed  at  the  Crosley  plant  in  Cincinnati  whose  broad¬ 
casts  would  be  directed  towards  South  America  and  possibly  Europe, 


The  Chairmanship  of  the  Engineering  Committee  for  the 
Fourth  District  of  the  National  Association  of  Broadcasters  has  been 
accepted  by  Clyde  M.  Hunt,  Chief  Engineer  for  Station  WTOP,  CBS  sta¬ 
tion  in  Washington,  D. C. 

The  forthcoming  Fourth  District  meeting  will  be  held  in 
Asheville,  N, C, ,  September  3rd  (today)  and  tomorrow. 


Export  problems  regarding  tubes  and  also  parts  will  be 
considered  at  another  meeting  in  Washington  September  8th  of  the 
special  Export  Committee  of  the  Radio  Manufacturers*  Association, 
headed  by  Chairman  Walter  A,  Coogan,  cooperating  with  the  Office  of 
Economic  Warfare, 


-  DUE  TO  THE  FACT  THAT  MONDAY,  SEPTEMBER  6TH  IS  LABOR  DAY, 
THERE  WILL  BE  NO  ISSUE  OF  THIS  SERVICE  NEXT  TUESDAY,  SEPTEM¬ 
BER,  SEPTEMBER  7TH. 


-  10  - 


t , 


_T 


9/3/43 


Former  FCC  press  representative  Russell  Clevenger  has 
resigned  as  a  member  of  the  Public  Relations  Department  of  N.  W, 

Ayer  &  Son,  Inc.,  to  accept  a  position  as  Vice-President  in  charge 
of  the  Public  RelationsDepartment  of  Albert  Frank- Guenthe r  Law, Inc. , 
in  New  York,  with  which  he  was  previously  associated. 


Wyeth  Chemical  Co.,  Jersey  City,  N.J.,  selling  and  distri¬ 
buting  a  medicinal  preparation  designated  "Kill's  Cold  Tablets",  and 
Hill  Blackett  and  G-len  Sample,  trading  as  Blackett- Saraple-Hummert, 

221  North  LaSalle  Street,  Chicago,  an  advertising  agency  employed  by 
the  DIJyeth  Chemical  Co.  ,  are  charged  in  a  complaint  Issued  by  the 
Federal  Trade  Commission  with  misrepresentation  and  false  advertis¬ 
ing  in  radio  continuities  and  in  advertisements  in  newspapers,  maga¬ 
zines  and  other  periodicals. 


July  was  featured  by  a  17^  increase  over  June  production 
of  signal  equipment,  which  Includes  radio  and  radar.  The  July  elec¬ 
tronic  production  totaled  ^234,000,000, 

"One  of  the  most  noteworthy  achievements  of  the  month  oc¬ 
curred  in  the  field  of  signal  equipment  which  Increased  17^",  Chair¬ 
man  Nelson's  monthly  WPB  report  stated,  adding  that  among  the  pro¬ 
duction  bottlenecks  eliminated  was  quartz  crystal  output,  said  to 
have  been  "increased  markedly'^,  with  conservation  and  substitution 
programs. 

Preliminary  estimates  of  signal  equipment  in  August  were 
understood  by  RMA  to  be  about  10^  higher  than  the  July  deliveries. 


The  District  Commissioners  in  Washington  have  made  an 
appropriation  for  10  two-way  radio  instruments  to  be  installed  on 
ambulances  used  in  the  central  control.  The  service  was  put  into 
effect  to  provide  for  the  emergency  use  of  ajubulances  for  the  en¬ 
tire  city. 


In  the  proposal  listed  with  the  Securities  and  Exchange 
Commission  by  the  Emerson  Radio  Corporation,  the  sellers  of  the 
175,000  $5  par  capital  stock  shares  are  Benjamin  Abrams,  President, 
who  will  sell  105-100  of  his  162,062  shares;  Max  Abrams,  Secretary 
and  Treasurer,  who  offers  52,500  of  his  73,346  shares,  and  Louis 
Abrams,  a  Director,  who  offers  17,500  of  his  27,853  shares,  F, Eber-' 
stadt  &  Co.,  of  New  York,  were  named  as  principal  underwriters.  The 
public  offering  price  will  be  furnished  later. 


Replacing  its  old  AM  installation,  the  f/assachisetts  State 
police  now  have  105  M-equipped  cars  and  7  250-watt  fixed  transmit¬ 
ters.  In  addition  to  this  there  are  25-watt  transmitters  at  Martha' s 
Vineyard  and  Nantucket, 


Misrepresentations  of  the  therapeutic  value  of  a  medicinal 
preparation  known  as  "OCA"  and  "OCA  Pinkovels"  is  alleged  by  the 
Federal  Trade  Commission  in  a  complaint  against  Trans-Pac  Services, 
Inc.,  233  West  14th  St,,  New  York, which  sells  the  produce,  and  Dor- 
land  International,  Rockefeller  Center,  Nevr  York,  the  advertising 
agency  which  aids  in  the  preparation  and  dissemination  of  advertise¬ 
ments  of  the  preparation,  in  Spanish  language  advertisements  appear¬ 
ing  in  newspapers  and  circulars  and  broadcast  over  the  radio. 

XXXXXXXX 
-  11  - 


Heinl  Radio  Business  Letter 

2400  CALIFORNIA  STREET  WASHINGTON,  D.  C. 


hational  broadcasting  company,  INC, 
general  library 

30  rockefeller  PLKZK.  new  YORK,  N,  Y, 


INDEX  TO  ISSUE  OF  SEPTET'OER  10,  1943 


Congress  May  Hobble  FOG;  Cox  To  Fight  S2,500  Charge . 1 

FCC  Approves  Sale  Of  WLOL,  Minneapolis,  To  Ralph  Atlass 
Cowles'  New  WNAX  Tower  Dwarfs  Washington  Monument . 

First  Photo  Radio  Service  Between  U, S.  And  Brazil . 

Petrillo  Gets  Tougher  -  More  Stations  Must  Hire  His  Men 

Dr.  Keppel,  Noted  Educator,  Dies  On  Way  To  CSS  Meeting, 

Believes  Pearson,  If  Not  Ouilty,  Should  Have  Redress... 

Grimes,  Of  Philco,  Killed  In  Overseas  Plane  Crash . 

Radio  Repair  Men  And  Others  May  Purchase  Copper  Wire,.. 

White  Says  CSS  Will  Put  Foot  Down  On  Editorializing.... 

New  NAB  Radio  News  Committee  To  Meet  In  N.Y . 

Army  Controls  Station  Operation  In  Air  Raids . 

FCC  Action  On  Applications . 9 

Trade  Notes 


No.  1560 


11 


tO^O  lO  C^£>  CDOO 


CONGRESS  MAY  HOBBLE  FCC;  COX  TO  FIGHT  $2,500  CHARGE 


With  the  return  of  Congress  to  Washington  next  Tuesday 
(September  14),  numerous  pressing  radio  matters  will  come  up  for 
attention.  The  first  of  these  will  be  the  Interim  report  of  the 
House  Committee  investigating  the  Federal  Communications  Commission 
headed  by  Representative  Eugene  Cox  ( D) ,  of  Georgia,  which  it  is 
believed  will  recommend  that  all  war  work  now  being  done  by  the  FCC 
be  transferred  to  the  Army  and  Navy.  This  would  Just  about  cut  the 
Commission  in  half.  Maybe  more  than  that.  Furthermore  -  though 
this  is  apt  to  come  later  -  the  Cox  Committee  is  likely  to  declare 
that  Congress  never  intended  to  give  the  FCC  control  over  programs 
and  business  policies  of  stations  and  networks,  as  interpreted  by 
the  Supreme  Court,  and  suggest  that  something  be  done  about  it. 

It  is  also  reported  with  the  return  of  Congress  that 
Representative  Cox  will  demand  a  showdown  on  the  charge  of  Chairman 
James  L.  Fly,  of  the  FXCC,  that  the  former  is  guilty  of  taking  a  fee 
of  $2,500  from  a  Georgia  broadcasting  station  in  violation  of  the 
United  States  Constitution,  This  charge  has  been  made  repeatedly 
and  it  is  said  that  Mr,  Cox  will  now  assume  a  ”put  up  or  shut  up” 
attitude.  His  stand  is  reported  to  be  based  on  Attorney  General 
Biddle  telling  Speaker  Sam  Rayburn  that  the  Justice  Department  had 
investigated  the  matter  and  found  that  it  had  "no  case”  against 
Representative  Cox. 

In  the  meantime,  the  Washington  Post,  the  most  widely  read 
morning  paper  in  the  Capital, keeps  Cox  before  official  Washington  in 
a  most  embarrassing  way,  A  Post  editorial  this  week  reads: 

"In  its  'investigation’  of  the  Federal  Communications  Com¬ 
mission,  the  Cox  Committee  has  now  managed  to  dig  down  to  a  new  level 
of  meanness  and  banality.  All  of  the  charges  it  has  made  so  far  have 
been  in  the  fora  of  epithets.  Considering  the  Committee's  record, 
no  one  need  be  in  the  least  surprised  that  it  has  now  stooped  to  an 
accusation  that  the  FCC  has  engaged  in  draft  dodging.  This  particu¬ 
lar  form  of  name-calling,  though  now  somewhat  hackneyed,  is  always 
good  for  a  sneer.  It  deserves  no  more  credence  or  consideration  than 
the  other  'revelations'  dredged  up  by  the  unsquearaish  counsel  for 
the  Committee,  Eugene  L,  Ga.rey, 

"The  simple  fact  is  that  the  FCC,  like  every  other  Govern¬ 
ment  agency,  submits  its  dra ft- de ferment  requests  to  a  central 
review  committee.  It  is  governed  by  the  rigorous  standards  for 
deferment  of  Federal  personnel  which  the  President  laid  down  some 
months  ago, 

"Perhaps,  when  Congress  reconvenes,  it  will  put  a  stop  to 
this  travesty  on  its  investigative  procedures.  But  the  legislative 

-  1  - 


9/10/43 


branch  of  the  Government  has  been  encouraged  in  its  apathy  about 
the  situation  by  the  irresponsible  indifference  of  the  executive 
branch.  The  Chairman  of  the  Cox  Committee  has  been  publicly  charged 
with  having  received  a  $2,500  fee  for  representing  a  Georgia  radio 
station  in  proceedings  before  the  FCC,  The  charge  involves  an  out¬ 
right  violation  of  Section  113  of  the  Criminal  Code,  Yet  the  Depart¬ 
ment  of  Justice  has  made  no  effort  to  indict  Congressman  Cox,  The 
criminal  division  of  the  Department  has  recently  been  placed  under 
the  direction  of  Assistant  Attorney  General  Tom  C,  Clark,  A  prompt 
probing  of  the  Cox  case  should  have  a  top  priority  in  his  order  of 
business.  He  will  be  judged  by  the  manner  in  which  he  meets  this 
test,  '* 


Likewise  Chairman  Fly  will  no  doubt  be  heard  from  when 
Representative  Cox  makes  his  report  to  Congress,  Asked  at  his  press 
conference  last  Monday  if  there  was  anything  new  regarding  the  Cox 
Committee,  Mr,  Fly  replied: 

"There’s  something  new  every  day,  but  I  think  it  is  all 
about  the  same  character.  They  seem  to  have  taken  on  a  consistent 
pattern  and  idea  without  offering  any  word  in  the  record  or  any 
scrap  of  paper  to  be  able  to  present  our  side  of  the  case,  going 
ahead  and  doing  a  devastating  job  on  us  without  ever  giving  us  any 
hearing,  I  think  as  time  goes  on  this  predominant  position  comes 
clearer  and  clearer,  " 

Of  great  importance  to  the  broadcasting  industry  is  the 
bill  introduced  by  Senator  White  (r),  of  Maine,  and  Senator  Wheeler 
( D) ,  of  Montana,  which  would  sharply  restrict  regulatory  functions 
of  the  FCC,  It  would  divide  the  Commission  into  two  divisions  of 
three  members  each  -  one  to  handle  broadcasting  and  the  other  common 
carrier  service.  It  is  believed  that  between  action  in  Congress  on 
the  Cox  Committee  report  and  the  Whlte-''fheeler  bill,  the  present 
Communications  law  may  be  entirely  rev/ritten  and  the  Commission  re¬ 
organized,  Thus  the  sweeping  Supreme  Court  decision  may  be  circum¬ 
vented. 

No  da.te  has  been  set  for  the  beginning  of  the  hearings  on 
the  White- Wheeler  bill.  Senator  Wheeler  said  before  Congress  adjourn¬ 
ed  that  they  would  start  soon  after  recess.  At  his  office  this  week 
it  was  said  that  the  Senator  would  probably  make  a  definite  announce¬ 
ment  on  the  subject  upon  his  return  to  Washington, 

Also,  as  is  pretty  generally  known,  Elmer  Davis  and  the 
Office  of  War  Information,  including  its  Overseas  short-wave  "little 
moronic  King"  activities,  will  come  in  for  another  Congressional 
spanking.  Representative  Barry  (D),  of  New  York,  has  gone  even 
furtner  by  declaring  that  he  will  introduce  a  bill  to  abolish  OWI 
and  transfer  its  work  to  the  State  Department,  Representative 
Ditter  (D),  of  Pennsylvania,  will  foster  a  bill  to  end  the  Overseas 
Branch, 


xxxxxxxx 

-  2  - 


9/10/43 


FCC  APPROVES  SALE  OF  WLOL,  MINNEAPOLIS,  TO  RALPH  ATLASS 


The  Federal  Communications  Commission  last  Tuesday  granted 
consent  to  acquisition  of  control  of  the  Independent  Merchants 
Broadcasting  Station,  license  of  WLOL,  Minneapolis,  by  Ralph  L. 

Atlass,  of  Chicago,  from  Mrs,  Beatrice  L.  Devaney,  widow  of  the 
former  operator  of  WLOL  and  her  sons  David  Winton  and  Charles  J. 
Winton,  Jr, 

Station  WLOL  is  affiliated  with  the  Mutual  Broadcasting 
System  and  uses  1000  watts  power.  The  total  consideration  in  the 
sale  given  by  the  FCC  is  $6,319, 

Mr.  Atlass  is  one  of  the  pioneer  broadcasters  of  the 
country  and  President  and  G-eneral  Manager  of  WIND,  a  SO, 000  watt 
station  at  Gary,  Indiana,  and  WJJD,  5000  watts  in  Chicago, 

XXXXXXXX 


COWLES’  NEW  WNAX  TOWER  DWARFS  WASHINGTON  MONUI^ENT 


Believed  to  be  the  highest  in  America,  the  new  927  foot 
radio  tower  of  WNAX,  the  Cowles'  station  put  into  commission  at 
Yankton,  S.  D,.  last  Saturday,  tops  the  Washington  Monument,  which 
is  only  555  feet  in  heighth. 

Dedicated  to  the  Middle  West  farmers,  the  exercises  were 
participated  in  by  the  officials  of  five  States, 

The  speakers  were  Gardner  Cowles,  Jr.  ,  of  Des  Moines,  form¬ 
erly  Assistant  Director  of  the  Office  of  War  Information;  Rear 
Admiral  A,  B.  Randall,  Commandant  of  the  Maritime  Service,  and 
Clifford  Townsend,  representing;  the  War  Fcod  Administration, 

Mr.  Cowles  made  the  dedication  and  rally  the  occasion  for 
announcement  of  a  $30,000  scholarship  fund  to  help  boys  and  girls 
of  the  Middle  West  to  study  agriculture  and  economics.  The  scholar¬ 
ships  were  in  the  agricultural  colleges  of  Iowa,  Nebraska,  Minnesota, 
North  and  South  Dakota,  and  awarded  to  a  farm  boy  or  girl  from  each 
State  on  the  basis  of  his  contribution  to  the  war  effort, 

A  farmer  to  be  chosen  as  the  "Typical  Midwest  Farmer"  will 
be  sent  with  his  wife  by  WNAX,.  to  Portland,  Oregon,  where  the 
Maritime  Commission  has  arranged  for  them  to  sponsor  the  launching 
of  a  Liberty  ship  named  "Midwest  Farmer",  WNAX  plans  to  send  a  news¬ 
man  and  transcription  equipment  with  the  ship  on  its  maiden  voyage 
to  bring  listeners  details  of  Merchant  Marine  activity. 

During  the  dedication  of  the  tower,  "a  human  fly"  ascended 
to  the  top  and  released  balloons  carrying  orders  for  $25  and  $100 
war  bonds.  Gala  broadcast  programs  were  in  charge  of  Phil  Hoffman, 
General  Manager,  and  Jack  Falge,  Promotion  Manager. 

XXXXXXXX 


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FIRST  PHOTO  RADIO  SERVICE  BETAKEN  U.S.  AND  BRAZIL 


The  first  radiophoto  service  between  the  United  States 
and  Brazil  was  inau^.surated  on  September  7th  by  the  Mackay  Radio  and 
Telegraph  Company,  an  associate  of  the  International  Telephone  and 
Telegraph  Corporation.  In  Brazil  the  operating  unit  will  be  the 
Companhia  Radio  Internacional  do  Brasil  at  Rio  de  Janeiro,  another 
International  Telephone  and  Telegraph  Corporation  associate.  Open¬ 
ing  of  the  service  will  be  coincident  with  and  mark  the  celebration 
cf  the  Brazilian  Independence  Day. 

The  service,  which  has  been  arranged  through  the  coopera¬ 
tion  of  the  Coordinator  of  In ter- American  Affairs,  will  provide 
for  the  international  transmission  of  radiophotos  under  the  name 
'‘Mackay  Ra.dio- Radiophoto  Service”. 

In  making  the  announcemerjt ,  Admiral  Luke  McNamee,  Presi¬ 
dent  of  Mackay  Radio,  pointed  out  that  the  inauguration  of  the  new 
service  on  the  Independence  Day  of  the  great  Southern  democracy 
is  in  itself  significant,  since  it  is  a  further  extension  of  the 
Good  Neighbor  policy  of  the  Western  Hemisphere,  and  marks  another 
Important  step  in  the  ever-increasing  bonds  between  the  United 
States  and  Brazil. 


XXXXXXXXX 

PETRILLO  G-ETS  TOUGHER  -  MORE  STATIONS  MUST  HIRE  HIS  MEN 


Instead  of  easing  up  a  little  or  offering  some  compromise 
at  the  hearings  before  the  special  War  Labor  Board  panel  in  New 
York  trying  to  settle  the  dispute  over  manufacturing  of  records  for 
use  by  broadcasting  stations,  James  C,  Petrillo,  President  of  the 
American  Federation  of  Musicians,  delivered  the  ultimatum  that  with¬ 
in  60  days  he  would  require  160  network  stations  to  employ  AFL 
musicians,  Mr,  Petrillo  left  almost  immediately  thereafter  for 
Chicago,  The  next  session  will  be  held  next  Friday,  September  17th. 

Milton  Diamond,  attorney  for  Decca  Recording  Company  and 
the  World  Broadcasting  System,  had  previously  told  the  panel  he 
found  no  difference  between  broadcasting  by  transcription  or  by  wire 
networks,  and  if  one  was  permitted  to  operate  despite  the  ban,  the 
other  should  also  be  permitted  to  operate. 

“I  cannot  believe  the  A,  F.  and  M,  means  seriously  to 
Interfere  with  this  little  industry  of  making  transcriptions",  said 
Mr.  Diamond,  explaining  tha.t  many  "little  stations"  have  need  of 
such  transcriptions  as  sources  of  programs  where  musicians  were  not 
available,  TTie  transcription  business,  he  went  on,  "is  so  small", 
and  the  difference  between  broadcasting  and  transcription  "resolves 
Itself  into  a  mere  question  of  nomenclature. " 


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9/10/43 


Mr.  Diamond  volunteered  that  "perhaps  the  transcription 
makers  should  be  treated  as  a  network  and  employ  musicians  as  a  net¬ 
work  does.  "If  so",  he  went  on,  "it  seems  to  me  the  union  is  attempt¬ 
ing  to  regulate  the  networks.  See  us  as  a  network  and  this  whole 
problem  with  the  union  would  disappear,  barring  the  need  for  negoti¬ 
ations  to  establish  details.  " 

It  was  at  this  point  that  Mr.  Petrillo  announced  his  new 
demand  that  "within  sixty  days",  the  Union  would  require  160  network 
affiliated  stations  (not  within  jurisdiction  of  union  locals)  to 
employ  musicians.  Such  stations,  he  said,  hitherto  have  confined 
their  musical  programs  to  network  broadcasts  and  have  not  engaged 
musicians. 


"By  God  we  can  settle  this  if  we  can  all  sit  around  the 
table  together",  Mr.  Petrillo  ejaculated.  "Mr.  Diamond  is  no  pal 
of  mine  but  he's  got  a  business  and  we  have  a  business  and  it  would 
be  so  nice  to  hear  a  plan  to  sit  down  and  discuss  them.  If  these 
other  'birds'  had  some  kind  of  a  plan  like  this  there  wouldn't  be 
any  problem  toda.y,  " 

A.  Walter  So colow,  counsel  for  the  six  largest  transcrip¬ 
tion  companies,  said  that  Union  musicians  were  paid  a  total  of 
$30,000,000  a  year  for  radio  broadcasting.  Mr.  Petrillo  said  the 
ban  on  making  recordings  has  already  cost  the  musicians  $7,000,000. 

xxxxxxxx 


DR.  KEPPEL,  NOTED  EDUCATOR,  DIES  ON  WAY  TO  CBS  MEETING 


Dr,  Frederick  p.  Keppel,  former  dean  of  Columbia  University, 
and  a  Director  of  the  Columbia  Broadcasting  System,  died  Thursday 
while  enroute  from  Washington  to  New  York  to  attend  a  CBS  Directors* 
meeting.  Dr.  Keppel  was  stricken  on  the  train  and  death  followed  at 
the  office  of  his  physician  in  New  York  shortly  thereafter. 

Dr,  Keppel  was  Dean  at  Columbia  University  from  1910-18, 

He  also  was  formerly  President  of  the  Carnegie  Corporation  in  1941. 

At  the  time  of  his  death  he  was  serving  as  a  member  of  the  State 
Department's  Board  of  Appeals  on  visa  cases. 

In  a  letter  to  Dr.  Kepoel's  widow.  Secretary  Hull  praised 
him  as  "an  outstanding  citizen  who  rendered  highly  useful  and  meri¬ 
torious  service  to  the  community  and  to  the  country.  In  the  field 
of  education,  philanthropic  enterprises,  and  in  government,  his  work 
was  of  an  unusually  high  order,  and  his  record  is  one  fully  in  keep¬ 
ing  with  his  sterling  qualities  of  character  and  mind,  " 

XXXXXXXX 

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9/10/43 


BELIEVES  PEARSON,  IF  MOT  OUILTY,  SHOULD  HAVE  REDRESS 


The  following  editorial  on  President  Roosevelt's  denunci¬ 
ation  of  Drew  Pearson,  columnist  and  radio  commentator,  appeared  in 
Editor  &  Publisher: 

"The  President  of  the  United  States,  100  per  cent  proof 
against  libel  suits,  the  other  day  branded  a  newspaper  columnist 
3S  a  'chronic  liar'.  He  didn't  name  the  man,  but  there  was  no  dcuol 
in  the  mind  of  any  of  his  hearers  as  to  who  was  indicted.  Drew 
Pearson,  who  has  been  a  consistent  critic  of  the  State  Department's 
Russian  policy,  accepted  the  accusation  and  countered  it  with  a 
forthright  rebuttal. 

"Editor  &  Publisher  hopes  that  the  matter  does  not  end  at 
that  Juncture,  If  a  man  can  be  Justly  branded  as  a  chronic  liar,  he 
has  no  place  as  a  newspaper  writer  or  radio  commentator,  and  Mr. 
Pearson  has  had  an  honored  place  as  both  for  several  years.  If  a 
man  is  a  chronic  liar  on  matters  affecting  the  national  Interest, 
ne  is  no  better  than  a  traitor,  and  the  law  provides  ample  measures 
for  dealing  with  traitors.  If  Pearson  is  a  liar  on  matters  of 
state,  he  is  open  to  charges  of  treachery,  and  his  acts  should  be 
dealt  with  by  legal  processes.  If  he  is  not  a  liar,  not  a  traitor, 
he  should  have  legal  redress  and  the  opportunity  to  clear  his  name, 

"The  alternative  is  that  any  writer,  columnist,  or  broad¬ 
caster  who  finds  it  necessary  to  disagree  witn  Administration  pol¬ 
icies  is  open  to  accusations  that  blacken  his  character  and  destroy 
hie  usefulness  as  a  Journalist.  That  isn't  in  the  American  tradi¬ 
tion,  It  is  not  in  the  spirit  of  the  Constitution.  It  is  certainly 
not  in  the  spirit  of  the  men  who  drafted  the  '  Four  Freedoms'  - 
especially  freedom  from  fear.  The  essence  of  the  First  Amendment 
is  that  the  press  shall  disagree  with  government  whenever  disagree¬ 
ment  is  Indicated  by  events, 

"After  all,  is  it  the  fact,  or  the  oubllcation  of  the  fact, 
that  really  affects  the  course  of  history?" 

xxxxxxxx 

GRIMES,  OF  PHILCO,  KILLED  IN  OVERSEAS  PLANE  CRASH 

United  States  8th  Air  Force  headquarters  in  London,  has 
announced  that  David  Grimes,  Vice-President  in  Charge  of  Engineering 
of  the  Philco  Radio  Corp, ,  and  Pilot  Loren  L.  Myles,  44,  of  Los 
Angeles  were  killed  in  the  plane  crash  near  Belfast  last  week-end  in 
which  Commodore  James  A,  Logan  lost  his  life, 

Mr,  Grimes  at  the  age  of  29  was  a  leading  radio  engineer. 

In  recent  years  he  developed  a  number  of  radio  and  phonograph  in¬ 
novations  that  added  to  electronic  progress, 

XXXXXXXX 

~  6  - 


9/10/43 


RADIO  REPAIR  MEN  AND  OTHERS  MAY  PURCHASE  COPPER  WIRE 


Retailers,  electricians,  radio  repair  men  and  others  who 
sell  copper  wire  to  the  general  public  may  purchase  limited  quan¬ 
tities  and  sell  it  to  the  public  without  restrictions,  under  ClilP 
Regulation  No,  9,  Just  issued  by  the  War  Production  Board, 

Any  retailer  or  repair  man  may  order  up  to  3100  worth  of 
copper  wire  for  delivery  during  any  calendar  quarter.  If  he  needs 
more,  he  may  determine  as  accurately  as  practicable  the  dollar  value 
of  tne  copper  wire  he  sold  as  a  retailer  or  used  as  a  repair  man 
during  1941  and  he  may  buy  in  any  calendar  quarter  one-eighth  this 
amount. 

Three  million  pounds  of  copper  per  calendar  quarter  have 
been  earmarked  for  this  program.  Civilians  must  use  this  with  care, 
1?B  officials  pointed  out,  as  it  will  be  needed  to  cover  all  essen¬ 
tial  repairs  for  general  public  use. 

In  selling  copper  wire  under  the  new  regulation,  retailers 
need  not  pay  attention  to  any  preference  rating  other  than  AAA  or  a 
farmer’s  certificate  under  Priorities  Regulation  No.  19, 

Retailers  and  repairmen  may  buy  copper  wire  from  other 
retailers  or  repairmen  without  certifications  or  other  formalities. 
They  may  not  use  the  procedure  established  under  the  new  regulation 
to  obtain  copper  wire  in  excess  of  inventory  limits  established. 
Retailers  are  requested  not  to  sell  to  persons  who  may  buy  it  under 
other  CMP  procedures, 

xxxxxxxx 


WHITE  SAYS  CBS  WILL  PUT  FOOT  DOWN  ON  EDITORIALIZINO 


Paul  W.  White,  News  Director  of  the  Columbia  Broadcasting 
System,  said  in  Chicago  Friday  that  CBS  m.s  going  to  stop  commenta¬ 
tors  from  ’’expressing  editorial  opinions  on  the  air”  on  controversial 
issues. 

He  made  the  announcement  at  the  meeting  of  The  Associated 
Press  Managing  Editors'  Association. 

Mr,  White  said  that  the  real  meaning  of  freedom  of  the 
press,  as  far  as  radio  was  concerned,  was  to  have  all  sides  of  a 
controversy  presented  and  that  this  did  not  include  the  commentator 
wno  dwelled  on  his  own  editorial  opinion  day  after  day, 

XXXXXXXX 


7 


\ . 


9/10/43 


NEW  NAB  RADIO  NEWS  COMMITTEE  TO  MEET  IN  N.  Y. 


The  newly- fonned  Radio  News  Committee  of  the  National 
Association  of  Broadcasters,  will  meet  September  15-16  in  New  York 
City.  Its  roster  includes;  Karl  Koerper,  Managing  Director,  KIABC, 
Kansas  City,  Mo, ;  William  Dowdell,  News  Editor,  WLW,  Cincinnati, 
Ohio;  Tom  Eaton,  News  Editor,  WTIG ,  Hartford,  Conn,;  Rex  Howell, 
Manager  KFXJ,  Grand  Junction,  Colo. ;  L.  Spencer  Mitchell,  Manager 
WDAE,  Tampa,  Fla.;  Paul  White,  Director  of  News  Broadcasts,  CBS; 
Bill  Brooks,  News  and  Special  Events  Director,  NBC,  and  Walt  Dennis 
NAB  News  Bureau  Chief,  who  will  serve  as  Committee  Secretary. 

The  two  Committees  will  meet  jointly  the  first  session 
Wednesday  and  will  hold  a  joint  luncheon  that  day  to  which  members 
of  the  Association  of  Radio  News  Analysts  have  been  invited.  Major 
George  Fielding  Eliot,  ARNA  President,  and  H.  V,  Kaltenborn  will 
make  brief  talks. 

Separate  sessions  will  begin  the  same  afternoon,  with  the 
News  Committee  hearing  Charter  Hesleo,  Radio  Division,  Office  of 
Censorship,  on  "After  12,000  Newscasts"  and  Russel  Hogin,  Division 
of  Information,  War  Production  Board,  on  "A  Government  Press  Agent 
Looks  at  Radio  News", 

Other  News  Committee  business  will  concern  discussions  of 
standards  of  newscasting,  recognition  of  the  medium,  its  news  per¬ 
sonnel,  handling  of  its  own  news,  editorializing  on  the  air  and  the 
future  of  radio  news. 


XXXXXXXX 

ARMY  CONTROLS  STATION  OPERATION  IN  AIR  RAIDS 


Asked  how  it  was  that  many  broadcasting  stations  continued 
to  operate  during  air  raid  tests.  Chairman  James  L.  Fly  of  the 
Federal  Communications  Commission,  said: 

"I  have  noticed  that  during  the  tests  as  a  rule  the  radio 
stations  have  kept  operating,  I  do  know  that  the  whole  subject 
matter  of  whether  or  not  they  could  operate  during  the  raid  has 
been  given  considerable  study  but  what  the  various  corns  area  com¬ 
manders  have  concluded  on  thst  subject  I  don’t  know,  frankly,  I 
do  know  that  they  are  operating  during  the  tests,  I  have  observed 
that  just  as  you  have.  Of  course  the  greatest  danger  from  the 
standpoint  of  homing  is  the  clear  channel  stations  and  it  would  be 
my  guess  that  in  case  of  actual  r^.id  or  suspected  raid  those  sta* 
tions  would  close  down,  but  I  don  t  want  to  offer  any  seeimingly 
authoritative  judgment  on  that  because  we  are  not  controlling  it; 
the  Army  is  controlling  it  with  our  cooperation  in  the  administra¬ 
tion  of  it,  " 


XXXXXXXX 

-  8  - 


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9/10/43 


FCC  ACTION  ON  APPLICATIONS 


The  Federal  Communications  Commission  on  September  7th 
adopted  a  Decision  and  Order  granting  application  of  'o,R.  Richardson, 
Fred  L.  Adair  and  Robert  C.  Adair,  of  Station  WJOE,  Hammond,  Ind.  , 
for  a  construction  permit  to  make  changes  in  transmitting  equipment 
and  increase  operating  power  on  1230  kilocycles,  from  100  watts  to 
250  watts,  unlimited  time. 

At  the  same  time  the  Commission  adopted  an  Order  granting 
application  of  WIBC,  Indiana  Broadcasting  Corn, ,  Indianapolis,  Ind,  , 
for  construction  permit  to  make  modifications  in  the  equipment  of 
Station  WIBC  (which  is  now  authorized  to  operate  with  1  kilowatt 
power  night,  5  kilowatts  day),  for  operation  of  the  station  with  5 
kilowatts  power,  unlimited  hours,  employing  a  directional  antenna 
during  nighttime  hours,  subject  to  the  express  conditions  that  (a) 
objectionable  interference  will  not  be  caused  to  the  secondary 
nighttime  service  of  Station  CBA,  Sackville,  N.3. ,  within  the  terras 
of  the  North  American  Regional  Broadcasting  Agreement,  and  (b)  tha.t 
as  soon  as  materials  become  available  or  unon  notice  from  the  Commis¬ 
sion  the  permittee  will  provide  and  install  equinraent  necessary  to 
comply  in  all  respects  with  the  Standards  of  Good  Engineering  Prac¬ 
tice, 

In  another  action,  the  Commission  adopted  Pronosed  Finding 
of  Fact  and  Conclusions  granting  aoplicatlon  of  WGAR,  Cleveland, Ohio, 
for  construction  permit  to  change  frequency  from  1480  to  1220  kilo¬ 
cycles,  increase  nighttime  newer  from  1  to  5  kilowatts,  make  changes 
in  directional  antenna  for  nighttime  use,  and  move  transmitter  site 
locally.  This  grant  is  subject  to  condition  that  (a)  applicant 
shall  take  whatever  steps  are  necessary  to  irnorove  the  signal  of 
WGAR  over  the  Cleveland  business  district  to  comply  with  the  Commis¬ 
sion’s  Rules  and  Regulations  when  materials  and  equipment  again 
become  available  for  construction  of  broadcast  facilities;  and  (b) 
that  applicant  shall  submit  proof  that  the  proposed  radiating  system 
is  capable  of  producing  a  minimum  effective  field  of  175  rav/ra  at  one 
mile  for  1  kilowatt  power  (or  392  rav/ra  for  5  kilowatts  oower). 

Contingent  upon  the  above  action  on  the  WGAR  application  a 
grant  of  construction  permit  was  also  made  to  the  '.THBC,  The  Ohio 
Broadcasting  Co,  ,  Canton,  Ohio,  to  make  changes  in  transmitting 
equipment,  install  directional  antenna  for  nighttime  use,  change 
frequency  from  1230  to  1480  kilocycles,  and  increase  power  from  250 
watts  to  1  kilowatt. 

At  the  same  time  the  application  of  WADC,  Allen  T,  Simmons, 
Talmadge,  Ohio,  to  use  the  1220  channel,  increase  power  to  50  kilo¬ 
watts  and  move  transmitter  site  locally,  was  denied.  This  station 
now  operates  on  1350  kilocycles  with  5  kilowatts,  unlimited  time, 
using  directional  antenna  both  daytime  and  nighttime. 

The  Commission  in  a  fourth  action  adopted  Prooosed  Find¬ 
ings  of  Fact  and  Conclusions,  denying  without  prejudice  the  anpli- 
cation  of  United  Broa.dcasting  Co.,  1.THKC,  Columbus,  Ohio,  to  change 
frequency  from  640  to  610  kilocycles,  increase  power  from  500  watts 


9 


9/10/43 


to  1  kilowatt  and  hours  of  operation  from  limited  to  unlimited  time, 
relocate  transmitter  site,  and  install  directional  antenna  for 
nighttime  operation. 


National  Broadcasting  Co.  ,  Inc. ,  New  York  City,  granted 
extension  of  authority  to  transmit  recorded  programs  to  all  broad¬ 
cast  stations  under  the  control  of  the  Canadian  authorities  that  may 
be  heard  consistently  in  the  United  States  and  to  transmit  programs 
to  Stations  CBM  and  CBL  and  other  stations  under  the  control  of  the 
Canadian  Broadcasting  Corp. 


KFI,  Earl  C.  Anthony,  Inc.,  Los  Angeles,  Cal.,  adopted  an 
Order  (1)  granting  the  petition  for  reconsideration  filed  by  KFI 
directed  against  the  action  of  the  Commission  granting  the  applies-' 
tion  of  Iowa  State  College  of  Agriculture  and  Mechanic  Arts  (WOI), 
Ames,  Iowa,  for  special  service  authorization  to  operate  on  640 
kilocycles  from  6  A.M.  to  local  sunrise,  CST,  with  1  kilowatt  power, 
for  the  period  ending  Feb,  1,  1944;  (2)  set  aside  said  action;  and 
(3)  designated  the  application  for  hearing  upon  specified  Issues, 

The  Commission  further  ordered  that  Earle  C.  Anthony,  Inc,  (KFI), 

Los  Angeles,  be  made  a  party  to  such  hearing. 


WFTL,  Ralph  A.  Horton  (assignor)  The  Fort  Industry  Co., 
assignee.  Ft.  Lauderdale,  Fla.,  designated  for  hearing  application 
for  assignment  of  construction  permit  and  license  of  broadcast  sta¬ 
tion  WFTL  and  license  of  relay  stations  WAAD  and  WRET  from  Ralph  A, 
Horton  to  The  Fort  Industry  Co;  also  license  to  cover  construction 
permit  (for  change  in  frequency  from  1400  to  710  kilocycles,  increase 
in  power  from  250  watts  to  10  kilowatts,  install  new  transmitter  and 
directional  antenna  for  night  use,  and  move  transmitter)  and  author¬ 
ity  to  determine  operating  power  by  direct  method;  also  designated 
for  hearing  application  for  modification  of  license  to  move  main 
studio  from  Ft,  Lauderdale  to  Miami,  Florida. 


Applications  Received 

The  Times  Herald  Company.  Port  Huron,  Mich, ,  construction 
permit  for  a  new  high  frequency  (ni)  broadcast  station  to  be  oper¬ 
ated  on  47,700  kilocycles  with  coverage  of  5,600  square  miles;  WGPC . 
J.  W.  Woodruff  and  J.  W.  Woodruff,  Jr,  d/b  as  Albany  Broadcasting 
Co.,  Albany,  Ga.,  construction  permit  to  change  frequency  from  1450 
kilocycles  to  1490  kilocycles  and  move  transmitter  and  studio  from 
Albany  to  West  Point,  Georgia;  Mutual  Broadcasting  System,  Inc., 
Chicago,  Ill.,  authority  to  transmit  programs  to  Mexican  stations 
known  as  ''Radio  Mil's  Network";  KPRC,  special  service  authorization 
to  operate  with  power  of  2^  kilowatts  night  and  5  kilowatts  daytime, 
employing  temporary  non-directional  antenna,  for  the  period  ending 
8/1/44. 


xxxxxxxx 


10 


I  „  -  ■  ^  :  ,  •  . 

V  ■  :  -  .' -.fi.”  ■  ;• 

'  ;:i  1  j;:.  :  ;  .  i  ,• 


•  '•.  -.j  .  ■  '•.?  ■: 


f 


.  .'t'l 


9/10/43 


«  * 

TRADE  NOTES  : : 


In  order  to  eliminate  any  ambiguity,  the  Federal  Comm.uni- 
cations  Commission  en  banc  on  Tuesday  amended  Section  1,482  of  its 
Rules  of  Practice  and  Procedure  with  respect  to  the  furnishing  to 
the  Commission  copies  of  data  furnished  by  carriers  to  the  Office 
of  Price  Adjninistration  in  connection  with  rate  increases.  The 
amended  Section  reads  as  follows: 

’’Any  common  carrier  subject  to  the  Coraraunications  Act  of 
1934,  as  amended,  which  furnishes  any  notice  or  other  data  to  the 
Office  of  Price  Administration  in  connection  with  an  increase  in 
rates  or  charges  subject  to  the  Communications  Act  of  1934,  as  amend 
ed,  shall  concurrently  furnish  to  this  Commission  two  copies  of  such 
notice  and  other  data. " 


William  G,  King,  former  Music  Editor  of  the  New  York  Sun 
Joined  CBS*  Program  Department  September  7th.  Kis  first  assignment 
will  be  the  supervision  of  the  52-week  season  of  New  York  Philharmon-- 
ic  Symphony  broadcasts  sponsored  by  the  United  States  Rubber  Company. 


There  will  be  a  pre-audition  at  the  Overseas  Branch  of  the 
Office  of  War  Information  next  Friday  (Sept.  17)  of  the  first  record¬ 
ed  programs  which  the  United  States  will  transmit  over  the  Swedish 
State  Broadcasting  Service  and  the  United  States  will  transmit  over 
certain  American  stations. 

The  American  program  includes  a  message  from  Mrs.  Roose¬ 
velt  to  the  Swedish  people.  The  Swedish  program  includes  a  message 
from  Prince  Wilhelm.  In  addition  there  will  be  shown  a  documentary 
film,  ’’Swedes  in  America”  which  has  been  produced  by  OWI  for  over¬ 
seas  distribution. 


Chairman  Fly  of  the  Federal  Communications  Commission, 
replying  to  a  protest  by  Mayor  Spm  S.  Caldwell  of  Shreveport,  La,, 
over  the  use  of  a  telephone  network  for  a  broadcast  by  Jehovah’s 
Witnesses,  said  the  FCC  had  no  Jurisdiction  over  the  matter.  In  a 
letter  to  Mayor  Caldwell,  Mr.  Fly  said  there  was  no  basis  upon  which 
the  Commission  could  deny  the  facilities  of  the  telephone  companies 
to  the  religious  sect,  or  any  other  person  or  group. 


The  Fall  meeting  of  the  Columbia  Broadcasting  System’s 
Affiliates  Advisory  Board  will  be  held  in  the  network’s  headquarters 
in  New  York  on  September  15  and  16.  This  marks  the  fourth  such  meet¬ 
ing  of  the  Board, 


Raytheon  Manufacturing  Company  and  wholly  owned  subsidiar¬ 
ies  -  Year  to  May  31:  Net  profit,  subject  to  renegotiation  of  war 
contracts  and  after  $500,000  reserve  for  contingencies,  was  $719,113, 
or  $2,80  a  common  share.  Provision  for  Federal  Income  and  excess 
profit  taxes  for  the  year,  after  deducting  post-war  refund  and  credit 
for  debt  retirements,  was  $4,250,000.  Net  profit  for  year  to  May  31, 
1942,  was  $219,869,  or  74  cents  a  common  share. 


"There  is  also  no  rubber  for  the  heels  which  Leon  Hender¬ 
son  now  advertises  over  the  air”,  writes  Drew  Pearson. 

XXXXXXXXX 


11  - 


1 s  I  V/  I » » 


GENERAL  LIBRARY 


^  m  ROCKEFJiLER  PLAZA,  NIW  Y0I?|,  N,  Y, 

Heinl  Radio  Business  Letter 


INDEX  TO  ISSUE  OF  SEPTEB/IBER  14,  1943 


Woods  Shows  Courage  With  Pearson  -  Also  Fly  On  Blue . 1 

Secretary  Hull  Chooses  Radio  For  His  Important  Speech.... 

Blames  FDR  Policy  For  Petrillo  -  WSAY  Refused  Injunction. 


Fly  Breaks  Loose  On  The  Subject  Of  News  Commentators . 5 

OWI  Cuts  Out  Radio  Transcriptions  In  Latest  Shake-Up . 7 

CBS  Stations  Launch  Big  Program  Promotion  Campaign . 10 

Trade  Notes . . . 11 


No.  1561 


to  to 


I 


V 

'  ' 

'  ■  J'i 
'  ■  1 


4 

.  1 


J  :■ 


September  14,  194b 


WOODS  SHOWS  COURAGE  WITH  PEARSON  -  ALSO  ELY  ON  BLUE 


Although  it  might  have  had  serious  consequences  with  the 
present  New  Deal  Federal  Communications  Commission  controlling  his 
licenses  and  at  the  moment  passing  on  the  sale  of  the  Blue  Network, 
Mark  Woods  took  a  more  courageous  stand  in  giving  Drew  Pearson  an 
opportunity  to  reply  to  President  Roosevelt  than  did  Hugh  Baillie, 
President  of  the  United  Press  and  United  Features  Service  which 
distributes  Mr.  Pearson's  column  to  600  newspapers,  who  refused  to 
print  Pearson's  answer.  Re.dio  is  frequently  accused  of  having  no 
voice  and  of  being  afraid  to  come  back  at  the  Administration,  but 
here  is  a  case  where  radio  allowed  Mr.  Pearson  to  reply  where  the 
press  didn'  t. 

Also  at  the  hearing  on  the  proposed  sale  of  the  Blue  Net¬ 
work  to  Edward  J.  Noble,  Mr.  Woods  stood  his  ground  when  James  L. 
Fly,  Chairman,  sharply  charged  that  "the  American  Federation  of 
Labor  and  the  Small  Businessmen's  Association  don't  want  to  come  to 
the  backrood  for  a  handout  but  want  the  same  treatment  that  others 
get.  You  chase  them  out  of  the  front  part  of  the  shop  and  tell  them 
to  go  around  to  the  back  door  and  at  the  appropriate  time  you'll 
give  them  a  handout.  "  Mr.  Woods  denied  tiiere  was  any  discrimination 
of  the  character  alleged  by  the  Chairman.  He  had  previously  explain¬ 
ed,  as  of  course  Mr.  Fly  well  knew,  that  the  Blue  Network  sub¬ 
scribed  to  the  Code  of  the  National  Association  of  Broadcasters 
which  prohibits  the  sale  of  time  for  discussion  of  controversial 
issues,  but  permits  free  time  if  both  sides  are  treated  equally. 
Further  hearings  on  the  proposed  sale  were  put  off  until  next 
Monday,  September  90th. 

In  the  course  of  last  Friday's  hearing,  Mr.  Woods  was  put 
through  quite  a  course  of  sprouts  on  how  he  handled  commentators, 
controversial  issues,  and  why  labor  unions  were  not  permitted  to  buy 
time.  The  questions  on  commentators  were  aimed  at  Drew  Pearson  and 
Walter  Winchell. 

Mr.  Fly  asked  Mr.  Woods  whether  the  Blue  Network  would 
have  accepted  the  Ford  Sunday  Evening  Hour  program,  with  W,  J. 

Cameron  as  commentator.  Mr.  Woods  said  it  would,  because  he  thought 
Mr.  Cameron's  views  were  his  own,  rather  than  the  views  of  the  Ford 
Motor  Company. 

Mr.  Woods  explained  it  was  the  netw^ork's  policy  to  sell 
time  to  concerns  with  goods  to  sell,  and  not  to  organizations  which 
have  membership  objectives. 

Mr.  Woods  told  the  FCC  that  his  network  would  accept  a 
program  from  the  Ford  Motor  Co.  ,  with  W.  J.  Cameron  as  commentator, 
or  from  General  Motors  Co,,  with  John  Van  Der  Cook  as  commentator. 


«  1  - 


9/14/45 


but  would  refuse  a  program  of  the  American  Federation  of  Labor  be¬ 
cause  "they  have  a  particular  philosophy  to  preach". 

He  said,  however,  that  the  network  has  offered  free  time 
to  the  AFL,  the  Small  Businessmen's  Association  and  others. 

It  was  here  that  Mr,  Fly  exploded  about  the  "backdoor 
handouts".  Tne  revised  inventory  of  the  Blue  Network,  the  first 
sale  of  its  magnitude  in  the  history  of  radio  showed  a  total  origi¬ 
nal  cost  for  the  three  stations,  plus  other  property  and  fixtures, 
of  $1,003,720.83  and  a  replacement  cost  of  $797,500,  Broken  down 
among  .  the  three  stations,  the  figures  were  an  original  cost  of 
$733,200  for  VifJZ  and  a  replacement  cost  of  $534,000;  $143,900  for 
WENR,  and  a  replacement  cost  of  $162,500,  and  $126,619  original 
cost  for  KGO  and  a  replacement  cost  of  $101,000, 

Mr,  Woods,  in  a  prepared  statement,  said  tiiat  the  Blue 
Network  covers  an  Integrated  operation  of  166  stations  built  up 
over  a  period  of  17  years.  Fifty  new  stations  have  Joined  the  net¬ 
work  since  it  began  independent  operation  in  1942  -  practically  all 
of  them  independents  up  to  that  time. 

Indicative  of  the  uptrend  in  Blue  time  sales,  is  the  fact 
that  it  will  do  an  estimated  business  of  $15,900,000  in  1943,  as 
compared  to  $11,461,000  in  1942, 

Technically  the  Commission  only  approves  the  transfer  of 
the  licenses  of  WJZ,  WENR,  and  KGO  but  actually  it  is  going  into 
the  details  of  the  sale  with  a  fine  tooth  comb, 

Frank  C,  Goodman,  Executive  Secretary  of  the  Department  of 
National  Religious  Radio  of  the  Federal  Council  of  Churches  of 
Christ  in  America,  appeared  in  support  of  Mr,  Noble's  application. 

He  said  he  also  testified  in  behalf  of  the  American  Bible  Society, 
the  Home  Mission  Council  of  America,  and  the  World's  Christian 
Endeavor  Union. 

Len  De  Caux  of  the  Congress  of  Industrial  Organizations, 
will  be  among  the  witnesses  when  the  hearing  is  resumed  September 
20th,  The  CIO  contends  labor  is  at  a  disadvantage  as  compared  with 
employer  and  business  interests  in  the  matter  of  radio  time. 

The  fact  that  Drew  Pearson  was  not  allowed  to  reply  through 
nis  newrspaper  column,  as  Ii-ferk  Woods  had  permitted  him  to  do,  was 
revealed  in  a  story  printed  in  Marshall  Field's  New  York  newspaper 
last  Sunday  which  printed  the  suppressed  column,  and  said: 

"Pearson,  it  was  learned  today,  has  tried  several  times  to 
reply  to  the  press  conference  attacks  on  him  by  President  Roosevelt 
and  Hull  which  resulted  from  his  criticism  of  Hull's  attitude  toward 
Soviet  Russia,  The  President  called  Pearson  a  'chronic  liar', 

"Several  of  the  newspaper  editors  who  use  Pearson's  column 
are  understood  to  have  urged  him  to  reply.  He  was  anxious  to  do  so, 
and  wanted  to  give  further  details  to  bade  up  his  charge  that  Hull 


9/14/43 


had  been  antagonistic  toward  our  Soviet  allies.  Friends  say  he 
wrote  two  or  three  columns  in  reply,  but  all  were  turned  down  by 
Baillie. 


”The  United  Press  president  has  now  gone  to  California, 
leaving  behind  a  flat  edict,  it  is  understood,  that  Pearson  cannot 
reply  in  any  way  to  the  Roosevelt- Hull  charges.  In  effect,  this 
censors  Pearson  in  any  discussion  of  Administration  policies  toward 
Russia, 


"The  columnist,  it  is  reported,  is  still  fighting  to  get 
his  story  across,  " 


XXXXXXXXX 

SECRETARY  HULL  CHOOSES  RADIO  FOR  HIS  IMPORTANT  SPEECH 


Another  break  for  radio  was  the  fact  that  Secretary  of 
State  Cordell  Hull  last  Sunday  night  broadcast  his  speech  instead 
of  releasing  it  to  the  press  exclusively.  Coming  at  a  time  when 
such  serious  charges  are  being  hurled  at  the  State  Department  and 
when  the  Department  is  in  the  midst  of  a  new  struggle,  the  speech, 
the  first  formal  address  Mr,  Hull  has  made  in  more  than  a  year,  was 
looked  forward  to  with  unusual  interest. 

However,  the  Secretary,  #io  sounded  rather  feeble  over 
the  air,  did  not  touch  on  any  of  the  State  Department  internal 
troubles  but  instead  undertook  an  exposition  of  United  States 
foreign  policy  for  both  the  war  period  and  after  advancing  as  cardi¬ 
nal  requirements  for  postwar  relations  establishment  of  internation¬ 
al  means  of  resolving  political  and  legal  disputes  and  "readiness 
to  use  force  if  necessary,  for  maintenance  of  peace, " 

Secretary  Hull's  speecn  was  carried  by  the  National  Broad¬ 
casting  Company, 


xxxxxxxxxx 

BLAMES  FDR  POLICY  FOR  PETRILLO  -  WSAY  REFUSED  INJUNCTION 


Putting  Petrillo  squarely  on  the  Administration  doorstep, 
the  New  York  Times  said  last  Saturday: 

"The  lawyer  for  six  leading  transcription  concerns,  appear¬ 
ing  before  a  special  panel  of  the  War  Labor  Board,  was  completely 
Justified  in  declaring  that  what  Mr,  Petrillo 's  union  proposes  is 
that  the  manufacturers  of  an  invention  must  either  *go  out  of  busi¬ 
ness  or,  in  the  alternative,  agree  that  every  person  who  uses  the 
invention  should  hire  or  preferably  pay  the  union  for  the  same  number 
of  men  as  would  be  used  if  the  invention  did  not  exist. '  If  the 
Petrillo  proposals  were  accepted  they  would  clearly  destroy  estab¬ 
lished  industries  and  thwart  new  technology. 


3 


9/14/43 


’'On  the  ground  of  the  public  interest,  Mr.  Petrillo  has  no 
case  whatever.  Yet  his  ban  on  recordings,  which  deprives  musicians 
of  income  at  the  same  time  as  it  deprives  the  public  of  music,  con¬ 
tinues.  Mr.  Petrillo,  it  is  true,  is  a  very  unreasonable  man.  He 
has,  in  fact,  unmitigated  gall.  At  hearings  he  shouts,  flails  his 
arms,  pounds  the  table,  and  doesn't  care  what  accusations  he  makes 
either  against  the  transcription  and  broadcasting  companies  or 
against  Government  officials.  But  all  these  uningratiating  personal 
qualities  would  be  of  little  importance  under  a  proper  state  of  law 
and  law  enforcement. 

"Mr,  Petrillo  gets  his  power  to  dictate  to  the  American 
people  what  music  they  shall  and  shall  not  hear  through  the  Wagner 
Act  and  under  the  sweeping  immunities  that  unions  enjoy  from  the 
Federal  anti-trust,  anti-conspiracy  and  anti- racketeering  laws. 

There  is  no  point  in  objecting  to  Mr.  petrillo 's  aims  or  methods  as 
long  as  we  accept  the  state  of  law  that  encourages  such  aims  and 
the  use  of  such  methods,  " 

Through  a  decision  Saturday  in  Rochester,  N.  Y,  ,  by 
Supreme  Court  Justice  William  F,  Love,  radio  station  WSAY  lost  its 
motion  for  a  temporary  injunction  against  Petrillo  and  Local  66  of 
the  Musicians  Protective  Association  of  Rochester. 

Gordon  P.  Brown,  owner  of  the  station,  sought  the  order 
pending  trial  of  a  suit  for  a  permanent  injunction  and  undetermined 
damages.  He  asserted  that  the  national  and  local  unions  unlawfully 
coerced  the  Mutual  Broadcasting  System  and  the  Blue  Network  on  July 
15  to  cut  station  WSAY  from  all  "live"  music,  both  remote  sustaining 
and  studio  programs,  because  of  a  dispute  with  the  local  union.  The 
station  has  since  operated  with  recorded  music  only. 

Mr,  Brown  declared  that  there  was  no  labor  disoute  involved 
under  the  law  but  that  there  was  a  conspiracy  among  the  defendants 
to  force  the  hiring  of  five  musicians  for  which  the  station  had  no 
need. 

In  refusing  the  temporary  injunction,  Justive  Love  held 
that  there  was  no  malice,  actual  coercion  or  intent  completely  to 
destroy  the  plaintiff's  business.  He  said  a  different  showing  might 
be  developed  on  trial  of  the  suit,  but  that  on  the  affidavits  before 
the  court  the  restraining  order  must  be  refused.  The  trial  is 
scheduled  for  September  SOth, 

The  dispute  arose  over  the  union's  demand  that  WSAY  con¬ 
tract  to  hire  five  musicians.  The  union  also  sought  an  accounting 
from  WSAY  to  determine  wiiether  it  could  afford  to  hire  more  musi¬ 
cians,  Information  as  to  the  station’s  financial  status  was  refused. 

Tne  Petrillo  hearings  before  the  War  Labor  Board  will  con¬ 
tinue  in  New  York  next  Frida.y,  September  17th,  at  which  time  the 
Musicians  Union  side  of  the  case  will  be  heard, 

xxxxxxxx 


-  4  - 


9/14/43 


FLY  BREAKS  LOOSE  ON  THE  SUBJECT  OF  NEWS  COMI>ENTATORS 


The  high-light  of  the  press  conference  of  Chairman  James 
L.  Fly  of  the  Federal  Communications  Commission  was  his  taking  a 
fall  out  of  radio  news  commentators.  He  said: 

"One  thing,  of  course,  we  have  always  got  to  bear  in  mind 
is  the  necessity  of  having  a  broad  general  public  service  in  radio  - 
not  a  tendency  to  constrict  and  exclude,  particularly  in  the  field 
of  public  discussion,  the  presentation  of  views  on  important  current 
issues,  political,  social,  economic  in  character. 

"To  the  extent  tnat  broadcasting  fails  to  meet  that  most 
important  public  need,  to  that  extent  it  is  deficient.  There  seems 
to  be  something  of  a  tendency  in  the  industry  generally  to  restrict 
and  exclude  rather  than  to  lay  down  sound  policies  that  will  give  us 
broader  and  more  wholesome  public  service.  I  really  think  it  is 
time  for  the  industry  itself  to  take  hold  of  this  whole  problem  and 
see  how  opportunities  can  be  made  to  render  broader  service  and  to 
agree  on  rendering  more  fundamental  services.  It  is  conceivable; 
it  may  be  the  easiest  way  out  to  constrict  and  exclude,  but  it  is  not 
so  clear  that  the  easiest  way  out  is  the  most  constructive  way, 

"And,  in  the  event  the  industry  does  not  see  the  light?" 
the  Chairman  was  asked, 

"That  would  be  a  matter  for  the  consideration  of  the  Com¬ 
mission,  It  is  something  of  a  defensive  comolex,  you  know,  that 
enters  into  this  sort  of  thing,  a  tendency  of  the  industry  to  avoid 
these  vital  questions  on  the  public  issues,  to  take  refuge  behind 
shibboleths  rather  than  move  out  in  a  fundamental  and  vital  way  and 
grasp  the  issues  and  do  something  about  rendering  a  public  service  in 
regard  to  them, 

"I  rather  suspect  that  if  the  present  tendency  continues, 
the  overall  utility  of  the  broadcasting  will  tend  to  diminish  from 
day  to  day,  month  to  month,  year  to  year,  simply  because  of  the  ease 
of  adopting  restrictions  and  constrictive  and  exclusive  measures. 

We  seem  to  be  simply  sticking  to  the  point  that  so  long  as  an  outfit 
Is  big  enough  and  has  some  product  to  sell  over  a  national  network, 
it  will  get  the  time,  and  if  not  it  won’t  get  it.  That's  too  easy 
a  standard.  Then,  too,  I  would  suppose  it  doesn't  help  that  situa¬ 
tion  any  where  we  permit  that  small  restricted  group  to  promote 
their  own  ideas  and  their  own  philosophies  and  press  those  upon  the 
public's  attention.  You  have  that  in  a  number  of  instances,  which 
only  accentuates  the  fact  that  you  don't  render  a  broad  oublic  ser¬ 
vice. 

"I  heard  a  so-called  news  program  last  night.  It  always 
is  supposed  to  be  a  news  program.  Through  the  months  it  has  been 
tending  more  and  more  to  get  away  from  the  news  of  the  day  to  the 
philosophies  of  the  particular  sponsor.  Things  like  that  are  done 
in  a  somewhat  subtle  if  not  over- subtle  manner.  Only  by  careful 
listening  do  you  discover  tliat  he  is  not  giving  you  news  or  comment 
on  the  world  news,  but  is  neddling  ideas  to  you  from  the  company 
headquarters.  Where  ideas  and  ideals  and  philosophies  are  nroraoted 


-  5  - 


r  ■■ 


9/14/^ 


tney  ought  to  be  promoted  openly,  and  in  any  case  when  they  are  pro¬ 
moted  they  should  be  counterbalanced  by  other  presentations  so  that 
the  public  will  have  the  benefit  of  both  sides  of  the  controversial 
issues. 

”A  radio  license  is  a  public  trust.  It  raay  be  exploited 
selfishly,  and  properly  so,  but  it  should  not  be  so  exploited 
exclusively  and  as  against  the  great  public  interest.  The  privil¬ 
ege  of  extending  your  voice  Into  the  living  rooms  of  virtually  all 
the  people  of  this  country  Is  a  rate  one.  It  cannot  be  extended  to 
everybody,  and  he  who  undertakes  to  operate  or  exercise  control  over 
that  vital  mechanism  which  belongs  to  the  public,  takes  with  that 
privilege  and  that  opportunity  a  grave  public  duty.  The  mechanism 
of  free  speech  and  Indeed  about  the  only  practical  mechanism  of 
free  speech  we  have  Is  entrusted  to  him  and  It  Is  placed  In  his 
hands  In  trust  for  the  public, ” 

’’Why  do  you  say  this  Is  the  only  practical  mechanism?” 
someone  broke  In, 

“Because  the  day  Is  gone  when  a  man  can  accomplish  any¬ 
thing  in  terms  of  national  public  opinion  by  the  soap  box  method”, 

Mr.  Fly  replied,  ”A11  you  get  out  of  what  you  can  say  orally  or 
what  you  can  say  before  any  audience  that  comes  before  you  is  a 
certain  degree  of  mental  catharsis.  So  far  as  affecting  national 
public  opinion  by  means  of  speech  in  this  raocem  complex  society 
I  the  personal  effort  is  well  nigh  futile.  The  only  way  we  can  talk 

j  to  the  people  as  a  whole  is  through  radio  broadcasting, 

I  ”I  am  not  talking  about  the  press;  I  am  talking  about 

I  speech  and  the  mechanism  of  free  speech.  In  the  early  days  free 
speech  was  a  much  more  practical  matter  in  that  audiences  were  small 
I  er.  You  could  reach  people  better.  But  now  that  the  distances  are 

I  great  and  the  population  is  so  great  and  society  is  so  complex,  the 

possibility  of  accomplishing  anything  by  word  of  mouth  is  rather 
small.  So,  as  that  society  has  developed,  we  have  come  uoon  here 
what  is  really  the  first  practical  mechanism  that  makes  free  speech 
much  more  than  a  theoretical  thing.  It  is  a  vital  public  force  and 
a  practical  force.  It  is  no  longer  theoretical, ” 

”Is  there  any  possibility  of  the  Communications  Act  being 
rewritten  by  Congress  In  such  a  way  that  they  might  remove  that  vit¬ 
al  public  interest  factor  subtly?”  a  reporter  ventured, 

”I  don*t  think  there  is  the  slightest  possibility;  not 
the  slightest”,  Mr.  Fly  went  on.  ”It  is  conceivable  that  some  of 
!  the  powerful  interests  might  bring  so  much  pressure  to  bear  that  we 

i  might  get  some  slight  change  of  wording,  I  don’t  know,  but  anytime 

\  you  take  away  from  the  license  of  the  broadcaster  that  fundamental 

j  duty  to  serve  the  public  interest  then  you  have  prostituted  your 

j  whole  great  public  mechanism  of  free  speech  to  selfish  interests, 

’  The  dangers  in  any  system  where  the  broadcasters  would  not  be  under 

a  duty  to  serve  the  public  interest  are  well  nigh  frightening. 


} 


•  r 


9/14/43 


’’By  these  remarks  do  you  imply  that  it  is  imnossible  to 
have  sponsored  news  commentators?"  a  reporter  asked. 

"From  the  standpoint  of  ideal  service  it  may  well  be  that 
j  there  ought  not  be  any  sponsorship  of  news  or  comment",  Chairman  Fly 
;|  answered,  "I  would  take  no  position  on  that.  You  certainly  do  have 
;  some  splendid  examples  of  courage  in  news  reporter  and  commentators 
1)  who  are  paid  by  the  sponsors.  And  I  certainly  had  not  Intended  to 
level  any  criticism  at  such  news  reporters  and  commentators  or  at 
those  sponsors,  " 

"The  responsibility  is  to  the  broadcaster  to  see  about 
the  news?"  the  reporter  persisted, 

"I  am  not  trying  to  delineate  at  this  moment  or  to  tell 
you  what  the  Commission  will  do  or  not  do",  Mr,  Fly  said,  "I  am 
giving  you  some  of  my  own  basic  philosophy  in  regard  to  standards  of 
public  service  and  the  principles  to  control  public  service.  I  am 
suggesting  in  terras  of  "the  ideal  but  not  in  the  idealistic  sense 
merely  as  distinguished  from  the  practical.  I  am  not  talking  about 
a  specific  legal  requirement  or  about  any  particular  thing  the  Com¬ 
mission  may  do  as  a  matter  of  legal  procedure.  In  fact,  I  should 
have  saved  this  speech  for  a  later  da.te.  " 

"I  gather  that  you  mean  that  the  industry  itself  has  to 
take  hold  at  this  point  to  correct  any  of  the  abuses  that  are  more 
or  less  flagrant?"  the  Chairman  was  asked. 

"Yes,  to  correct  any  of  the  abuses  that  are  more  or  less 
flagrant  and  also  to  come  to  grips  with  the  broader,  more  fundament¬ 
al  questions  and  to  expand  the  issues  of  the  free  speech  mechanism 
on  a  sound  basis  rather  than  continue  to  hide  behind  formulae  and 
shibboleths  which  from  time  to  time  tend  to  restrict  service  rather 
than  expand  it",  he  concluded, 

XXXXXXXXXX 


OWI  CUTS  OUT  RADIO  TRANSCRIPTIONS  IN  LATEST  SHAKE-UP 


It  was  announced  today  (Tuesday,  September  14)  that  the 
major  cuts  in  the  Office  of  War  Information  have  been  the  elimination 
of  certain  production  activities  -  Including  radio  transcriptions  - 
and  the  elimination  of  field  offices,  and  the  curtailment  of  certain 
minor  activities  in  the  various  bureaus. 

Otherwise  there  was  apparently  no  change  in  the  status  of 
radio  in  what  Palmer  Hoyt,  OWI  Domestic  Director,  described  as  "A 
strengthening  of  the  organization  and  realignment  of  personnel  in 
the  Domestic  Branch.  Donald  Stauffer  continues  to  be  listed  as 
head  of  the  Radio  Bureau  though  there  were  reports  of  his  retiring. 

"This  realignment",  Mr.  Hoyt  said,  "will  produce  these 
results:  It  will  improve  our  effectiveness  in  serving  the  media  of 

Information  and  the  war  agencies  of  the  government.  It  will 


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strengthen  control  over  our  varied  programs,  so  as  to  carry  out  the 
policies  laid  down  by  Congress.  It  will  effect  many  economies,  but 
we  will  get  the  maximum  possible  return  out  of  every  dollar  and 
every  man  and  woman  on  the  job.  '* 

James  Allen,  formerly  Director  of  Public  Relations  for 
the  Department  of  Justice,  who  has  been  with  OWI  since  its  establish¬ 
ment,  continues  as  principal  Assistant  Director. 


Stephen  E,  Fitzgerald,  formerly  Director  of  Information 
for  WPB,  and  until  recently  an  OWI  Deputy  Director,  becomes  Assist¬ 
ant  Director  in  Charge  of  One rations. 


The  ge’neral  field  of  war  information  is  divided  into  six 
areas,  each  covering  a  group  of  related  war  agencies.  Each  area  is 
assigned  to  a  Deputy  of  the  Director.  Heretofore,  the  Deputies  have 
been  responsible  for  policy  in  their  respective  fields  and  for 
liaison  with  the  government  departments  concerned.  Hereafter,  each 
Deputy  will,  in  addition,  be  directly  responsible  for  the  conduct 
of  all  war  information  programs  in  his  field.  Program  Managers  have 
been  reassigned  from  the  Office  of  Program  Coordination  to  the 
staffs  of  the  appropriate  deputies  and  will  work  under  their  direc¬ 
tion. 

Deputies  and  their  agencies  and  areas  are  as  follows ; 


Military  Information;  Agencies  -  Array  and  Navy  -  George  H, 

Lyon,  formerly  City  Editor  of  the  New  York  World  Telegram;  Production 
!  and  Manpower;  James  R,  Brackett,  formerly  Executive  Secretary  of 
ij  the  Temporary  National  Economic  Committee  -  Agencies  War  Production 
I  Board,  War  Manpower  Commission,  Office  of  Defense  Transportation, 

I  Petroleum  Administration  for  War,  Maritime,  Solid  Fuels  Coordinator; 
i  Food,  rationing,  price  control:  Agencies  Office  of  Price  Administra- 
:  tion.  War  Food  Administration  of  Agriculture  -  A.  R,  Whitman,  former- 

:|  ly  Vice  President  and  Account  Executive  of  Benton  &  Bowles;  Labor  end 

j  Civilian  Welfare;  Agencies  -  War  Labor  Board,  Department  of~Labor, 

I  Interior,  Federal  Security  Agency,  War  Production  Drive,  Production 
i  Information  Com.,  Committee  on  Congested  Areas  -  Herbert  Little, 

;  formerly  head  of  Labor  News  Desk  for  OWI  and  former  Labor  reporter 
for  Scripps  Howard  New^spapers;  Taxation,  finance,  economic  atabil- 
ization;  Agencies  -  Treasury,  Office  of  Economic  Stabilization, 

War  Housing,  Office  of  Civilian  Defense,  Red  Cross  National  War  Fund 
Herman  S.  Hettinger,  formerly  on  faculty  of  Wharton  School  of  Finance 
of  the  University  of  Pennsylvania;  Enemy  Information  -  To  be  announcsi 

Arthur  Sweetser,  former  Director  of  Information  for  the 
League  of  i'^ations,  will  continue  as  a  Special  Deputy  for  liaison 
with  the  United  Nations  Information  Center,  and  liaison  for  the 
i  Domestic  Branch  with  the  State  Department  and  representatives  of  all 
foreign  government  as  regards  the  work  of  the  latter  in  disseminating 
.  Information  within  the  United  States. 


OWI  Bureau  Chiefs  are  as  follows: 

News  Bureau:  Charles  L.  Allen,  Acting  Chief,  now  on  leave  as  Assist 
ant  Dean,  Me  dill  School  of  Journalism,  Northwestern  University; 


Radio  Bureau:  Donald  Stauffer,  former  Executive  Vice  President  In 
charge  of  Radio,  Ruthrauff  &  Ryan;  Magazine  Bureau;  Dorothy  Ducas, 
former  editor  of  McCalls,  etc,;  Motion  Picture  Bureau  -  To  be  named; 
Booh  Bureau;  Chester  Kerr,  formerly  Director  of  Atlantic  Monthly 
Press;  Editor  of  Harcourt  Brace  &  Co. ;  Office  of  Program  Coordina¬ 
tion;  Robert  Perry,  formerly  Vice  President  of  (leyer  Cornell  & 
Newell;  Account  Executive  with  Young  and  Rublcara;  Bureau  of  Special 
Services;  Katherine  C.  Blackburn,  formerly  Director  of  Division  of 
Press  Intelligence;  Executive  Secretary  of  Woodrow  Wilson  Foundation. 

Functions  which  OWI  *  s  Domestic  Branch  wrill  continue  to 
perform  may  be  summarized  as  follows; 

1,  It  will  clear  and  coordinate  all  war  news  releases  by 
government  departments  and  agencies, 

2,  It  will  serve  as  the  channel  between  war  agencies  and  the 
radio  industry;  coordinate  and  allocate  all  government  requests  for 
radio  time;  prepare  radio  war  messages;  clear  government  war  radio 
programs, 

3,  It  will  clear  all  speeches  and  magazine  articles  by  policy¬ 
making  officials,  in  accordance  with  the  directive  of  the  President, 

4,  It  will  serve  as  the  channel  between  war  agencies  and  the 
motion  picture  industry;  coordinate  and  allocate  all  government 
requests  upon  the  motion  picture  industry.  Although  OWI  will  not 
itself  produce  motion  pictures,  it  will  coordinate  the  motion 
picture  productions  of  other  government  agencies  to  avoid  waste, 
duplication,  or  conflict, 

5,  It  will  serve  as  a  central  point-  of  contact  with  magazine 
publishers  to  coordinate  government  requests  for  magazine  space  and 
to  provide  war  information  to  magazine  editors. 

6,  It  will  serve  as  a  central  point  of  contact  with  book  pub¬ 
lishers  and  authors. 

V,  Although  OWI  will  not  Itself  produce  posters,  it  will 
coordinate  the  production  and  distribution  of  posters  by  other  gov¬ 
ernment  agencies  to  eliminate  waste,  duplication  of  conflict,  and 
will  maintain  a  small  creative  art  and  planning  section  for  the 
assistance  of  Federal  war  agencies.  The  Gtovernraent  Printing  Office 
has  agreed  to  accept  no  posters  for  printing  which  have  not  prev¬ 
iously  been  clea.red  with  OWI, 

8,  Although  OWI  will  not  itself  produce  publications  for  dis¬ 
tribution  directly  to  the  public,  it  will  continue  to  operate  the 
Inter-Agency  Publications  Committee  which  reviews  all  proposed  gov¬ 
ernment  publications  to  eliminate  non-essential  printing.  The  Bureau 
of  the  Budget  will  not  approve  the  expenditure  of  funds  for  proposed 
periodical  publications  not  previously  cleared  with  the  Inter-Agency 
Committee,  A,  H.  Feller,  General  Counsel  of  OWI,  is  Chairman  of 

the  Committee, 

9,  OWI  will  also  maintain  the  follovang  services: 

Press  clippings;  This  service  has  been  greatly  curtailed  by  reduced 
appropriations.  Every  effort  is  currently  being  made  to  restore 
sufficient  service  to  meet  essential  government  needs. 

Public  opinion  surveys;  OWI  will  conduct  such  surveys  only  in  con¬ 
nection  with  specific  war  information  problems.  Results  are  not 
to  be  used  publicly,  but  are  for  the  guidance  of  government  ad¬ 
ministrators  and  information  men. 

Public  inquiries:  A  small  staff  has  been  retained  to  handle  inquir¬ 
ies  from  the  public. 

XXXXXXXXX 

-  9  - 


9/14/43 


CBS  STATIONS  LAUNCH  BIG  PROGRAM  PROMOTION  CAMPAIGN 


One  of  the  most  comprehensive  and  powerful  campaign  of 
voluntary  program  promotion  ever  undertaken  in  network  radio  will 
shortly  be  launched  simultaneously  by  every  station  on  the  network 
of  the  Columbia  Broadcasting  System, 

Breaking  in  every  CBS  ’’station  city"  in  the  United  States 
late  this  month,  the  campaign,  over  the  station  signature  of  each, 
will  use  as  media:  radio,  newspapers,  transportation  advertising, 
posters  and  direct  mail  to  ring  up  the  curtain  of  the  Fall  and  Wint¬ 
er  season  of  CBS  network  programs. 

In  their  use  of  radio  itself,  the  CBS  stations  plan  the 
broadcasting  of  more  than  45,000  special  announcements  inviting 
listeners  to  important  programs  immediately  forthcoming.  The  stars 
of  the  network  programs  have  themselves  recorded  for  the  stations 
over  600  personal  invitations  to  listen  to  their  programs;  these 
recordings  are  a  second  branch  of  the  station’s  use  of  radio  to 
display  its  wares. 

Newspaper  advertising  to  a  total  daily  circulation  of 
over  12  million  conteraolates  use  by  each  station  of  every  major 
newspaper  in  every  "station  city",  with  sustained,  frequent  and  size¬ 
able  space. 

In  every  CBS  "station  city"  where  transportation  advertis¬ 
ing  is  available,  the  CBS  stations  will  carry  cards  displaying 
their  programs,  call  letters  and  frequencies,  to  a  total  monthly 
passenger  circulation  of  over  840  million,  a  full  run  of  giant  car 
and  bus  cards  keyed  to  every  program  on  the  network  for  every  day 
in  the  week, 

CBS  stations  are  planning  vigorous  use  of  a  series  of 
brilliant  large  posters  announcing  each  full-network  program.  Many 
of  these  posters  present  portraits  of  leading  artists  or  directors, 
drawn  especially  by  James  Montgomery  Flagg,  famous  illustrator. 

The  initial  showing  of  these  posters  will  exceed  65,000  and  the  full 
campaign  contemplates  use  of  more  than  500,000. 

More  than  half  a  million  miniature  posters  will  be  circu¬ 
lated  by  CBS  stations  and  many  other  direct-mail  measures  are  under 
way. 

In  issuing  the  announcement,  CBS  emphasizes  the  fact  that 
tnis  campaign  does  not  replace,  but  is  superimposed  on  top  of  the 
full  "normal  CBS  station  procedure  in  voluntarily  serving  their  cli¬ 
ents  and  agencies  with  practical  promotion  campaigns  for  every  pro¬ 
gram  on  the  netwrork  -  a  method  which  the  industry  has  been  kind 
enough  to  designate  year  after  year  as  the  leading  effort  of  its 
kind.  " 


XXXXXXXX 


10 


9/14/43 


•  • 

::  TRADE  NOTES 


Fte.dio  stations  are  invariably  swamped  with  telephone  calls 
asking  if  an  air-raid  alarm  is  a  test  or  if  it  is  a  real  thing. 

These  people  might  be  told  that  they  could  always  get  the  answer 
by  tuning  in  the  local  station.  If  the  station  is  off  the  air,  it 
is  the  real  thing. 


Sonora  Products,  Inc,  ,  Sales  Division  for  Sonora  Radios  <5- 
Records,  announced  that  it  has  purchased  the  plant  and  facilities 
of  Standardline  Wood  Manufacturing  Co. ,  which  will  be  one  rated  by 
Sterling  Wood  Manufacturing  Co.  ,  a  newly  organized  Illinois  corpora¬ 
tion. 


Burr'idge  D.  Butler,  President  of  Prairie  Farraer-WLS  has 
returned  from  a  six  weeks  business  trip  to  Phoenix,  Arizona.  Dur¬ 
ing  his  stay  in  Arizona  he  supervised  the  activities  of  the  Arizona 
network  stations  -  KOY,  Phoenix,  KTUC,  Tucson;  and  KSUN,  Bisbee- 
Lowell. 


Press  and  radio  were  complimented  for  their  observance  of 
the  code  of  censorship,  in  the  annual  report  of  General  George  C., 
Marshall,  Chief  of  Staff,  who  said,  that  "a  genuine  cooperation  has 
been  attained  by  these  great  news  disseminating  agencies, " 

Philco  Corp,  earned  SI,  526, 282  or  Si,  11  a  sha.re  in  the 
first  half  of  1943,  compared  with  an  adjusted  profit  of  Si, 152, 877 
or  84  cents  a  share  in  the  same  period  a  year  ago.  July  shipments 
were  the  highest  on  record,  with  further  gains  expected  during  the 
remainder  of  the  year.  Shipments  consisted  mainly  of  radio  and 
electronic  equipment  for  the  armed  forces. 

Renegotiation  of  1942  contracts  has  been  completed,  result¬ 
ing  in  an  adjustment  of  $220,350  in  earnings,  which  was  charged  to 
the  $1,000,000  reserve  for  contingencies,  the  report  revealed.  The 
reserve  is  now  $779,600,  leaving  $2,209,992  profit,  or  $1,61  per  com¬ 
mon  share,  as  originally  reported. 


NBC's  public  service  department  will  hold  its  annual  Fall 
meeting  at  Radio  City  Tuesday  and  Wednesday,  Seotember  14-15,  to 
make  plans  for  the  coming  year.  Dr,  James  Rowland  Angell,  Public 
Service  Counsellor,  will  preside.  Reoresentatives  from  all  divisions 
including  Judith  Waller,  Manager  of  the  Central  Division  of  the 
Public  Service  Denartment,  and  Jennings  Pierce,  Director  of  the 
Deoartment's  Western  Division,  will  be  nresent. 


"I  hear  the  local  Bing  Crosby  on  Station  WTOP,  ’'■'Washington, 
Arthur  Godfrey,  does  so  well  he  can  afford  to  look  down  his  nose  at 
a  $60,000  annual  offer  to  transfer  to  New  York.  It's  a  case  of  hit¬ 
ting  the  public  fancy  and  Jackpot  at  one  and  the  same  time",  writes 
Andrew  Kelley,  in  the  Washington  Daily  News. 

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Letter 


WASHINGTON,  D.  C. 


INDEX  TO  ISSUE  OF  SEPTEMBER  17,  1943 


Dies  Charges  FDR  Seeks  Leftist  Aid  Fighting  Ousters  . .  1 

Atlanta  and  Jacksonville  Meetings  Urge  New  Laws  . . 2 

Butcher  For  NAB  President?;  Saw  Italians  Surrender  .  3 

Fly’s  Views  on  Commentators  Cause  Some  Excitement  .  4 

Suggests  Congress  Clean  Own  Stables;  Hits  Rep.  Cox  .  6 

Press  Beats  OWI’s  Radio  An  Hour  On  Italian  Surrender  .  7 

WMCA  Sold  for  ^1,255,000;  Blue  Network  Hearings  Monday  .  8 

Radio  Technical  Board  Meets  to  Plan  Postwar  Services  . . .  9 

New  WPB  Plan  For  Subcontracting  Radio  Test  Equipment  .  9 

Petrillo  Hearings  Resume;  Agreement  Plan  Rumors  . 10 

M“G  Gets  Ready  For  Television  . . 11 

Trade  Notes  . . . 11 


No.  1562 


^  '■  .  •  ... O'-  XO'-O'O! 


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September  17,  1943 


DIES  CHARGES  FDR  SEEKS  LEFTIST  AID  FIGHTING  OUSTERS 


In  the  front-page  fight  over  President  Roosevelt’s  come¬ 
back  at  Congress  for  trying  to  put  him  on  the  spot  in  the  order  to 
discharge  Dr.  Goodwin  Watson  and  William  E.  Dodd,  Jr.,  of  the 
Federal  Communications  Commission  and  Dr,  Robert  M,  Lovett,  of  the 
Virgin  Islands,  Rep.  Dies  of  Texas,  Chairman  of  the  House  Un-Amer¬ 
ican  Activities  Committee  charges  the  President  with  seeking  the 
support  of  "the  Left  Wing  group".  Mr.  Dies  challenged  the  President 
to  "take  to  the  American  people  the  issue  of  whether  men  who  don’t 
believe  in  our  form  of  Government  should  be  allowed  to  stay  on  the 
Government  payroll."  He  assailed  as  "smacking  of  dictatorship" 
the  President’s  message  to  Congress  yesterday  criticizing  the 
congressional  action  in  the  case. 

"The  President  attempts  to  tell  Congress  it  cannot  ful¬ 
fill  its  Constitutional  function  of  controlling  the  nation’s  purse 
strings,"  Dies  said*  "That’s  the  way  Mussolini  started." 

Indicating  that  there  will  be  a  continuation  of  the 
fight,  which  has  developed  into  one  of  the  most  bitter  contro¬ 
versies  the  Congress  has  ever  had,  full  records  of  the  hearings  at 
which  Messrs.  Goodwin  V/atson,  Dodd  and  Lovett  were  questioned,  were 
released  on  the  Hill,  obviously  for  the  purpose  of  giving  Congress¬ 
men  additional  ammunition. 

It  seemed  to  be  the  general  opinion  that  the  action  of 
Congress  in  ordering  the  trio  dropped  from  the  Government  payroll 
on  Nov.  15  if  not  renominated  by  that  time  by  President  Roosevelt, 
and  denounced  by  the  President  as  \mconstltutional,  would  even¬ 
tually  be  fought  in  the  United  States  Court  of  Claims.  Instead 
of  seeking  Senate  confirmation.  Dr.  Watson  disclosed  that  present 
plans  call  for  all  three  remaining  at  work  past  the  ouster  dead¬ 
line,  and  suing  for  their  salaries  in  the  Court  of  Claims.  A 
lawyer  has  already  been  chosen  for  the  case,  Dr.  Watson  said,  and 
there  is  a  chance  that  a  showdown  in  the  court  may  be  sought 
before  November  15  by  asking  for  a  declaratory  Judgment  against 
the  action  of  Congress.  It  was  conceded,  in  view  of  the  message 
that  Mr.  Roosevelt  will  not  renominate  the  three  after  the 
November  15  deadline,  since,  legal  experts  say,  to  do  so  would  be 
to  recognize  the  action  which  the  President  has  termed  illegal. 


9/17/43 


Therefore,  informed  congressional  circles  said,  if  the 
employees  continue  at  their  posts,  their  only  recourse  apparently 
will  be  to  file  suit  for  their  pay  which  would  subject  the  entire 
question  to  judicial  review, 

-  On  the  chance  of  his  losing  out  in  the  courts  it  is 

known  that  Dr,  Watson  has  turned  in  the  direction  of  the  Navy 
Department  where  it  is  said  he  has  been  seeking  a  commission  as 
Lieutenant  Commander, 

Mr,  Roosevelt  signed  the  appropriations  bill  which 
carried  the  Goodwin  Watson  -  Dodd  -  Lovett  rider  he  told  reporters 
at  the  time,  because  it  contained  money  needed  for  the  war  effort, 
but  he  described  the  restricti‘/e  rider  as  a  ’’bill  of  attainder" 
and  not  binding  on  the  executive  branch  of  the  Government  and  said 
he  would  so  advise  Congress® 

The  Goodwin  Watson  et  al  message  was  the  first  one  he 
sent  to  Congress  this  session  and  was  in  substanrially  the  form  in 
which  he  had  told  reporters  earlier  in  the  sujnraer  it  would  be 
drafted.  He  repeated  that  he  believed  the  rider  "not  only  unwise 
and  discriminatory,  but  unconstitutional,"  and  once  more  assailed 
it  as  "an  unwarranted  encroachment  upon  the  authority  of  both  the 
executive  and  judicial  branches  under  our  Constitution."  He 
pointed  out  that  no  trials  had  been  held,  nor  impeachment  proceed¬ 
ings  instituted,  "There  is  no  suggestion, "  Mr.  Roosevelt  said, 
"that  the  three  named  individuals  have  not  loyally  and  competently 
performed  the  duty  for  which  they  had  been  employed.  They  are 
sought  to  be  disqualified  for  Federal  employment  because  of 
political  opinions  attributed  to  them," 

XXXXXXXXX 


ATLANTA  AND  JACKSONVILLE  MEETINGS  URGE  NEW  LAWS 


Fifty  delegates  of  the  National  Association  of  Broad¬ 
casters  Fifth  District,  meeting  in  Atlanta  last  week  with  James 
Woodruff,  Jr,  presiding,  resolved  that  legislation  was  the 
greatest  problem  facing  the  radio  industry,  as  follows: 

1.  That  sound  adequate  basic  legislation  defining  the  rights  and 
responsibilities  of  broadcasters  and  protecting  the  freedom  of 
radio  is  the  most  important  matter  before  the  industry  today, 

2.  That  the  Legislative  Committee  of  NAB  be  instructed  to  proceed 
forthwith  to  prosecute  the  passage  of  such  legislation  thru  the 
White-Vifheeler,  Holmes  or  other  bills  which  might  prove,  after 
adequate  hearing  and  consideration,  to  be  the  best  for  the  public 
and  all  Interests  of  the  industry. 

3.  That  a  Legislative  Committee,  composed  of  Harry  Ayers  of 
Anniston;  Henry  Johnston,  Birmingham;  Leonard  Reins ch,  Atlanta; 
Walter  Tlson,  Tampa,  be  appointed  in  the  Fifth  District  to 
cooperate  with  the  National  Legislative  Committee, 


-2- 


9/17/43 


Discussion  of  the  Petrillo  situation  resulted  in  a 
second  resolution: 

"a  motion  that  this  District  go  on  record  urging  the  Board  of 
Directors  and  the  Staff  of  the  National  Association  of  Broadcasters 
to  prosecute  with  every  means  at  their  command  methods  to  prevent 
the  industry  from  being  persecuted  by  any  action  of  the  American 
Federation  of  Musicians.” 

James  W.  Woodruff,  Jr.,  appointed  the  following  Fifth 
District  Legislative  Committee:  Thad  Holt  -  WAPI  -  Birmingham,  Ala 
Frank  King  -  WMBR  -  Jacksonville^.  Fla. ;  Walter  Tison  -  WFLA  - 
Tampa,  Fla.;  and  Red  Cross  -  Macon,  Ga. 

Luncheon  speaker,  Lou  Gordon,  Director  of  Public  Rela¬ 
tions  for  the  Citizens  and  Southern  Bank,  paid  radio  high  compli¬ 
ments  for  its  promotion  of  the  sale  of  War  Bonds  and  requested 
generous  contributions  of  time  and  talent  in  the  Third  V/ar  Loan 
Campai gn. 


The  Florida  Association  of  Broadcasters,  with  thirteen 
of  its  twenty  members  present,  met  in  Jacksonville  on  Sunday, 
where  Jack  Hopkins,  WJAX,  assumed  the  office  of  President.  Dis¬ 
cussion  of  new  radio  legislation  was  followed  by  passage  of  the 
resolution  adopted  by  the  P’ifth  NAB  District  at  Atlanta,  urging 
new  laws. 


The  afternoon  session  was  devoted  to  a  discussion  of  the 
Florida  ”anti-ASCAP”  lav/,  originally  passed  in  1937,  which  places 
prohibitions  upon  the  operations  of  ASCAP,  AJ/IP  and  BMI  in  that 
State,  Assistant  Attorney  General,  John  C.  Wynn,  explained  the 
action  of  the  Attorney  General  in  filing  a  suit  against  these  or¬ 
ganizations  for  clarification  of  the  law  and  his  obligations  as  an 
enforcement  officer,  which  the  legislation  prescribes.  Action  was 
taken  by  the  Association  to  insure  satisfactory  conclusion  to  this 
and  a  suit  previously  filed  by  Palm  Taverns,  Inc.,  of  West  Palm 
Beach,  in  a  "friendly”  action  against  ASCAP. 

XXXXXXXX 


BUTCHER  FOR  NaB  PRESIDENT?;  SAW  ITaLIaNS  SURRENDER 


The  latest  person  to  be  mentioned  to  succeed  Neville 
Miller  as  President  of  the  National  Association  of  Broadcasters,  is 
Lieut.  Commander  Harry  Co  Butcher,  now  serving  as  naval  aide  to 
General  Dwight  D.  Eisenhower  in  Africa-  Mr.  Butcher  is  the  former 
Washington  Vice-President  of  the  Columbia  Broadcasting  System  on 
leave  of  absence  for  the  duration.  Mr.  Miller’s  terra  expires  next 
June, 


A  dispatch  from  Clark  Lee,  International  Nev/s  Service 
correspondent  with  the  British  Mediterranean  Fleet  this  week  told 


-3 


9/17/43 


how  Mr.  Butcher  had  been  the  only  American  to  see  the  Italian 
fleet  surrender.  The  account  follows t  "The  surrender  of  the 
main  Italian  force  from  Spezia  took  place  at  8:35  Friday  morning 
off  of  Cape  Bon,  where  the  British  battle  unit  commanded  by  a 
rear  admiral  aboard  the  Warspite,  awaited  the  Italians  in  accord¬ 
ance  with  the  armistice  arrangements.  On  the  Warspite  bridge  was 
Commander  Harry  C.  Butcher,  U.S.N.,  aide  to  Gen.  Dwight  D. 
Elsenhower,  whom  he  was  representing. 

"The  Warspite,  the  Valiant  and  five  British  destroyers 
had  been  escorting  a  carrier,  whose  planes  assisted  in  covering 
our  landing  near  Naples,  v/hen  they  received  word  Thursday  after¬ 
noon  to  proceed  on  a  secret  mission,  whose  nature  only  Butcher 
knew  until  the  British  admiral  received  a  message  from  Admiral 
Sir  Andrew  Browne  Cunningham,  Allied  commander  of  Mediterranean 
naval  forces,  to  proceed  as  appointed. 

"’We  weren’t  sorry  to  leave,’  Commander  Butcher  said. 
'During  the  night  of  landings  at  Salerno  we  were  attacked  for 
three  hours  by  German  planes.  One  torpedo  missed  us  by  a  few 
yards  •  ’ 


"’There  were  no  ceremonies  and  no  greetings,  except 
for  hoisting  signal  flag  instructions  for  the  Italians  to  line  up 
behind  us.  The  admiral  debated  whether  to  place  some  ships  behind 
the  Italians  to  prevent  any  of  them  from  escaping,  but  decided  not 
to  do  so  inasmuch  as  they  had  kept  the  agreement.’" 

XXXXXXXX 


FLY’S  VIEWS  ON  COMENTATORS  CAUSE  SOME  EXCITEIffiNT 


There  v/as  consternation  in  certain  quarters  over  the 
views  Chairmen  James  L.  Fly  of  the  Federal  Communications  Commis¬ 
sion  expressed  on  the  subject  of  radio  commentators  (See  our 
release  of  Sept.  14).  It  was  charged  that  Mr.  Fly  was  taking  in 
more  and  more  territory  and  v/ould  continue  to  do  so  unless 
stopped  by  Congress. 

However,  in  view  of  the  number  of  cracks  Mr.  Fly  has 
taken  at  Wall  Street,  the  reaction  of  Wall  Street  Journal  to  his 
latest  remarks  are  interesting.  The  Journal  says  editorially: 

"Chairman  Fly  of  the  Federal  Communications  Commission 
raises  a  highly  important  question  as  to  the  duty  of  broadcasting 
stations  to  preserve  ’impartiality’  in  the  discussion  of  ’contro¬ 
versial’  matters  over  the  air  on  ’sponsored’  programs  and  the 
duty  of  the  Government  to  see  that  that  duty  is  performed.  He 
points  out  that  under  the  guise  of  news  summaries  and  comments  on 
news,  sponsors  could  in  fact  peddle  their  ideologies  and  philoso¬ 
phies,  and  that  these  ideologies  should  be  openly  presented  and 
opportunity  be  given  for  presentation  of  the  other  side  lest  the 
public  be  deceived.  He  hinted  that  unless  the  industry  itself 
took  measures  to  improve  the  situation.  Government  might  have  to 
step  in. 


-4— 


9/17/43 


’’Natural  limitation  of  the  available  air- channels  - 
science  may  find  a  way  some  day  greatly  to  increase  their  number  - 
makes  public  regulation  of  their  use  a  necessity.  The  only  alter¬ 
native  is  that  of  complete  ownership  and  operation  by  Government 
itself  as  in  Great  Britain.  Broadcasting  stations  are  expensive 
to  construct  and  operate  and  in  private  hands  must  employ  the 
sponsorship  method  in  order  to  live.  ’Air  time’  is  itself  ex¬ 
pensive,  and  is  beyond  the  reach  of  the  ordinary  citizen.  Sponsors 
choose  the  programs  which  they  think  will  best  carry  their  adver¬ 
tising  to  the  public.  Most  sponsors  are  corporations;  some  are 
organizations  v/hlch  aim  to  promote  their  ideas  or  philosophies. 
Broadcasting  stations  also  generally  present  unsponsored  programs 
at  their  own  expense.  The  fact  remains,  however,,  that  the  forum 
of  the  air  is  not  available  to  Tom,  Dick  and  Harry,  nor  is  there 
any  present  prospect  that  it  will  ever  be. 

”ls  the  actual  state  of  the  air  traffic  such  that 
’impartiality’  in  the  presentation  of  ’news*  and  ’comment’  is 
notoriously  lacking  as  a  result  of  sponsorship?  Apparently  in 
Chairman  Fly’s  mind  the  one  great  controversy  around  which  all 
arguments  finally  center  is  that  as  to  ’left’  and  ’right’  and 
Impartiality  as  betv;een  these  tv/o  ideologies  is  the  goal  at  which 
he  is  aiming.  Is  it  a  fact  that  the  sponsored  programs  are 
preponderatingly  of  the  ’right’  orientation,  and  that  the  ’left’ 
is  not  getting  a  fair  hearing?  Such  is  not  this  newspaper’s 
impression.  Mr.  Fly  himself  admits  that  we  have  ‘splendid  examples 
of  courage  in  news  reporters  and  commentators  who  are  paid  by  the 
sponsors’  .  \ji/hen  broadcasting  stations  accord  time  to  a  party  of 
any  sort  for  its  propaganda  they  are  constrained  to  offer  equal 
time  to  the  propagandists  on  the  other  side.  This  newspaper  does 
not  spend  much  time  in  monitoring  the  air  waves  and  will  not  be 
dogmatic  on  the  general  state  of  the  traffic,  but  it  has  not 
observed  any  notable  lack  of  impartiality  in  such  of  that  traffic 
that  has  come  under  its  notice. 

"Men  are  so  constituted  that  they  are  apt  to  consider 
impartial  that  which  happens  to  agree  with  their  own  set  of 
‘slants’,  for  rare  indeed  are  those  who  are  not  in  some  degree 
slanted  on  many  things.  After  all,  ideologies  are  not  neces¬ 
sarily  prejudices;  a  man  can  have  a  philosophy,  a  frame  of 
reference  by  which  he  measures  values  in  general,  and  that  is  a 
‘slant’.  Can  Government  itself  be  free  of  ‘slants’?  Are  govern¬ 
ments  ever  really  impartial?  How  could  a  governmental  agency 
establish  standards  by  which  to  measure  impartiality  on  the  air 
waves?  And  if  it  attempted  to  do  so  what  would  become  of  freedom 
of  speech? 

"Until  some  way  can  be  found  to  provide  Tom,  Dick  and 
Harry  with  a  public  audience  free  of  charge  to  which  he  can  express 
his  mind  when,  as  and  if  he  pleases,  what  can  government  safely  do 
about  the  air  waves  which,  we  all  agree,,  it  cannot  safely  do  about 
the  newspaper  press?  The  very  power  of  life  and  death  which  the 
law  has  given  the  Federal  Communications  Commission  in  the  case 

/ 


-5- 


9/17/43 


of  the  air-waves  has  been  by  common  consent  refused  to  government 
In  the  case  of  the  press,  and  that  should  be  a  warning  that  its 
use  could  be  justified  only  by  the  plainest  and  most  imperious 
necessity.  We  have  seen  only  too  clearly  what  governments  can  do 
with  air  waves  when  they  seize  their  control  for  a  Hitler. 

"It  is  admittedly  a  problem,  but  when  all  is  said  and 
done  so  is  free  speech  l  problem  and  for  that  matter  so  is 
freedom  itself.  Nevertheless  Mr.  Ply  has  done  a  service  in 
raising  the  question." 

X  X  X  X  X  X  X  X 


SUGGESTS  CONGRESS  CLEAN  OWN  STABLES;  HITS  REP.  COX 


Drew  Pearson,  columnist  and  Blue  commentator,  recently 
said  a  kind  word  for  an  increase  in  pay  for  Congress.  "Seldom 
has  the  resultant  storm  of  mail  been  so  heavy,  so  scathing  and  so 
abusive,"  Mr.  Pearson  writes.  "The  public,  if  that  cross-section 
of  mail  is  any  criterion,  does  not  like  Congress.  At  $10,000  a 
year,  it  considers  a  Congressman  overpaid,  overstuffed  and  under¬ 
done  . " 

To  overcome  this  unpopularity  Pearson  suggests  that 
"Congress  is  going  to  have  to  clean  out  its  ovm  Augean  stables". 
Then  he  proceeds  to  take  another  terrific  v/allop  at  his  old  friend 
Cox: 

"Probably  nothing  has  decreased  public  esteem  of  Congress 
more  than  the  travesty  by  which  one  of  their  own  members  has 
turned  the  investigational  force  of  the  powerful  House  of  Repre¬ 
sentatives  against  the  Government  agency  which  had  the  temerity 
to  do  its  duty  and  recommend  him  to  the  Justice  Department  for 
criminal  prosecution. 

"The  case  is  complicated  but  now  most  of  the  American 
people  fully  understand  the  significance  of  the  manner  in  which 
Congressman  Eugene  Cox  of  Georgia,  a  crony  of  Speaker  Sara  Rayburn, 
was  able  to  take  a  $2500  check  for  alleged  illegal  lobbying  for  a 
radio  station  with  the  Federal  Communications  Commission,  and 
then  not  only  escape  prosecution,  but  get  his  colleagues  to  vote 
$60,000  of  the  taxpayers*  money  to  ’investigate*  the  agency  which 
accused  him. 

"Not  only  did  he  get  $60,000  of  the  taxpayers*  money 
(in  addition  to  the  salaries  of  six  Cox  relatives  on  the  public 
payroll)  but  he  also  got  himself  appointed  chairman  of  the 
committee  to  ’persecute*  the  FCC. 

"All  summer  Cox’s  committee  has  been  holding  hearings  at 
which  its  side  of  the  stoi^y  has  been  presented.  The  FCC’s  story 
has  been  barred. 


-6- 


9/17/43 


’’Furthermore,  Committee  Counsel  Eugene  Carey  has  now 
gone  to  the  extent  of  striking  from  the  record  various  reports 
or  questions  asked  hy  him  which  put  the  FCC  in  a  favorable  light, 

’’Three  years  ago,  when  testifying  before  the  Attorney 
General’s  Committee  on  Administrative  Procedure,  Carey  complained 
bitterly  that  SEC  officials  told  ’the  stenographer  what  to  put 
in  the  record  and  what  not  to  put  in  the  record’  at  public  hearings. 
Therefore,  he  said,  the  record  was  never  complete. 

’’But  recently  the  shoe  has  been  on  the  other  foot.  For 
Instance,  Carey  accused  the  FCC  of  ’doctoring’  a  memo  on  Fascist 
activities  which  had  been  submitted  to  the  Office  of  Censorship, 

FCC  Counsel  Nathan  David  denied  the  charge  and  gave  an  explanation 
which  made  Carey  look  absurd, 

”’I  ask  that  Mr,  David’s  words  be  physically  stricken 
from  the  record’,  said  Carey,  looking  as  if  he  wished  he  had 
never  brought  the  matter  up.  Chairman  Cox  immediately  agreed. 

”So  now  the  official  transcript  does  not  show  the  re¬ 
marks  of  Carey,  Cox  or  David,  merely  the  notation:  ’At  this  point 
a  statement  was  made  by  Mr,  Nathan  David  which  was  ordered  physi¬ 
cally  stricken  from  the  record’ , 

’’The  official  record  is  full  of  deletions  of  this  kind— 
whenever  anything  is  said  favorable  to  the  FCC.” 

X  X  X  X  X  X  X 


PRESS  BEATS  OWI’S  RADIO  AN  HOUR  ON  ITALIAN  SURRENDER 


There  was  a  slip  up  of  some  kind  at  General  Dwight  D, 
Elsenhower’s  headquarters  in  Algiers  Sept.  8  with  the  result, 
according  to  the  Editor  and  Publisher  that  the  three  major  press 
associations  scooped  the  American  commander  on  the  history-making 
story  of  the  unconditional  surrender  of  Italy  to  the  Allies,  The 
Associated  Press,  United  Press  and  International  News  Service  all 
flashed  bulletins  over  their  wires  anpvhere  from  between  45  and 
40  minutes  before  General  Eisenhower  went  on  the  air  at  12:30 
p,m.  with  his  own  announcement-. 

In  liVashlngton,  Elmer  Davis,  director  of  the  Office  of 
Vifar  Inf oimiation,  told  reporters  he  had  no  idea  how  word  of  the 
surrender  had  cleared  through  censors  in  Algiers.  His  office,  he 
said,  had  laid  elaborate  plans  to  cooperate  on  the  story  with 
General  Eisenhower,  Accepting  the  fact  that  the  news  flashes 
had  anticipated  their  planned  announcement  and  that  it  had  been 
scooped  on  its  own  story,  OWI  began  at  once  to  broadcast  the 
press  association’s  bulletins  to  the  world  over  its  short-v/ave 
transmitters,  and  at  12:30  p.m.,  as  scheduled,  it  recorded  the 
American  commander’s  address. 


-7 


9/17/43 


TOGA  SOLD  FOR  $1,255,000;  BLUE  NETWORK  HEARINGS  MONDAY 


Further  progress  was  made  in  the  Blue  Network  transfer 
with  the  purchase  from  Edward  J#  Noble  of  Station  WIvICA  in  New  York 
by  Nathan  Straus,  former  head  of  the  U.  S.  Housing  Authority® 

The  price  was  $1,255,000. 

The  sale  of  the  station  was  necessary  under  Federal 
Communications  Commission  rules  against  an  owner  controlling 
two  radio  stations  in  a  single  city>  As  the  Blue  Network  which 
Mr.  Noble  bought  recently  Includes  Station  WJZ  in  Ne\7  York,  he 
was  obliged  to  find  a  purchaser  for  WiCA, 

The  hearings  before  the  FCC  with  regard  to  the  transfer 
of  the  licenses  of  WJZ,  New  York,  KGO,  San  Francisco,  and  IVENR, 
Chicago,  the  Blue  Network  stations,  will  be  resumed  Monday, 

(Sept.  20).  Although  the  matter  will  be  gone  into  thorou^ly, 
there  is  a  feeling  that  no  real  opoosition  will  be  encountered 
and  that  the  Commission  will  approve  the  transfer. 

There  v/ill  probably  be  continued  opposition  to  the 
sale  of  MvICA  on  the  part  of  Donald  Flamra,  former  owner,  when  it 
comes  up  for  the  approval  of  the  Commission.  Mr.  Flamra  recently 
filed  a  rescission  suit  against  Mr.  Noble,  charging  that  the 
sale  of  the  station  was  made  under  duress,  and  asked  for  a  tempo¬ 
rary  injunction  to  restrain  Mr.  Noble  from  disposing  of  the  station 
during  the  litigation.  Supreme  Court  Justice  David  Peck  denied 
the  plea  but  Justice  Albert  Cohn  of  the  Appellate  Division  granted 
an  order  to  show  cause,  returnable  Sept.  24,  why  a  temporary  stay 
should  not  be  granted.  He  denied  a  stay  in  the  interim.  The 
price  paid  Flaram  for  V/MCA  was  $850,000. 

Mr.  Straus  is  43  years  old,  son  of  Jesse  I.  Straus,  a 
graduate  of  Harvard,  formerly  vice-president  of  R.  H.  Macy  &  Co., 
and  a  director  in  the  Mutual  Broadcasting  System  and  Chairman 
of  the  Buraberger  Broadcasting  Company  ( WOR) .  Mr.  Straus  was 
former  editor  of  "Puck”  and  later.  Assistant  Editor  of  the  N,  Y. 
Globe . 


Asked  at  his  press  conference  what  action  the  Commission 
could  take  in  the  transfer  of  the  Blue  Net  station  licenses, 

J.  L*  Fly,  Chairman,  said:  ”I  think  that  the  Commission  may  well 
Inquire  further  into  the  general  policies  and  conduct  of  the  oper¬ 
ations  as  a  basis  of  approval  or  disapproval  of  the  transfer.  V/e 
will  have  a  full  hearing  and  everybody  will  be  heard  so  far  as 
it  is  appropriately  related  to  the  issues.  I  think  that  is  about 
all  we  can  say.  And,  of  course,  on  the  Commission’s  own  end  we 
want  an  araple  record  in  a  case  of  that  importance.  vVe  want  to 
be  sure  that  the  statutory  qualifications  are  sho’wn  to  be  met." 

It  remains  to  be  seen  if  anything  more  will  be  heard  from 
Ira  Chase Koehne,  Washington  lawyer,  who  threatened  to  sue  the 


-8 


i’ 


I 

A 


9/17/43 


Blue  Network  for  |2, 000, 000  for  statements  made  on  the  network 
by  Walter  Winchell,  Drew  Pearson  and  Dorothy  Thompson*  Koehne 
is  said  to  share  an  office  with  H,  Victor  Broenstrupp,  listed  as 
defense  counsel  for  Yto.  Dudley  Pelley,  of  the  Silver  Shirts. 

XXXXXXXX 


RADIO  TECHNICAL  BOARD  MEETS  TO  PLAN  POSTWAR  SERVICES. 


Nine  industry  and  service  groups  have  joined  in  the 
organization  of  a  Radio  Technical  Planning  Board  for  studies  to 
develop  postwar  radio  services  and  products  preliminary  to  the 
organization  of  a  technical  advisory  group  which  will  formulate 
recommendations  to  the  Federal  Communications  Commission  and 
other  organizations  concerned.  This  was  effected  at  a  meeting 
of  the  groups  last  Wednesday  in  New  York  City. 

The  organization  plan  for  RTPB  sponsored  and  presented 
jointly  by  the  Radio  Manufacturers  Association  and  The  Institute 
of  Radio  Engineers  was  approved  unanimously  by  the  initially 
invited  sponsors.  These  included  in  addition  to  RMA  and  IRE  the 
following:  American  Institute  of  Electrical  Engineers,  American 
Institute  of  Physics,  American  Radio  Relay  League,  P.  M*  Broad¬ 
casters,  Inc.,  International  Association  of  Chiefs  of  Police, 
National  Association  of  Broadcasters,  and  National  Independent 
Broadcasters,  Other  sponsors  are  expected  to  later  join  RTPB  for 
work  on  many  technical  projects  including  utilization  of  the 
broadcast  spectrum  and  systems  standardization  for  many  public 
radio  services  including  television  and  frequency  modulation*  The 
general  plan  for  organization  of  RTPB  approved  unanimously  at  the 
New  York  meeting  will  be  developed  in  detail  at  another  meeting 
in  New  York  on  Wednesday,  September  29. 

XXXXXXXX 


NEW  WPB  PLAN  FOR  SUBCONTRACTING  RaDIO  TEST  EQUIPMENT 


To  meet  increasing  requirements  of  the  armed  services 
for  electronic  test  equipment,  a  plan  for  wider  subcontracting  of 
orders  for  critical  teat  equipment,  test  instruments  and  compo¬ 
nent  parts  has  been  initiated  by  the  Radio  and  Radar  Division  of 
the  War  Production  Board. 

Two  surveys  have  been  launched  by  the  Radio  and  Radar 
Division  in  its  plan  to  place  this  extra  demand  on  the  test  equip¬ 
ment  industry  in  places  where  facilities  and  competent  personnel 
already  exist,  since  the  expansion  of  facilities  is  impractical 
for  lack  of  time,  construction  materials  and  new  personnel* 


-9- 


*’.,***».■■  ‘ 


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9/17/43 


Regional  offices  of  WPB  have  been  requested  to  furnish 
detailed  reports  on  manufacturers  and  facilities  available  for 
prime  or  sub-contracts  for  producing  test  equipment,  test  in¬ 
struments  and  components.  At  the  same  time,  each  manufacturer 
of  electronics  test  equipment  has  been  asked  to  indicate  which 
firms  would  be  most  capable  of  adapting  themselves  to  oroduce, 
under  sub- contract ,  items  for  the  manufacturer’s  schedule. 

In  a  letter  to  manufacturers  of  electronic  test  equip¬ 
ment,  Ray  C.  Ellis,  Director  of  the  Radio  and  Radar  Division, 
stated  that  the  armed  services  have  given  notification  that  re¬ 
quirements  for  test  equipment  needed  to  manufacture,  install, 
maintain  and  service  equipment  for  the  future  will  increase  sub¬ 
stantially. 

There  are  several  ways  of  alleviating  shortages  of  test 
equipment  by  sub-contracting,  the  letter  says  in  part.  Suggested 
items  for  sub- contracting  include:  (1)  Those  models  having  rela¬ 
tively  small  volume  of  sales.  This  releases  productive  capacity 
for  the  large  volume  models  requiring  the  prime  contractors’ 
special  skill;  (2)  A  part  or  all  of  the  order  for  a  model  having 
a  large  backlog;  (3)  Component  parts. 

The  letter  requests  comments  on  the  sub- contracting  plan 
for  the  production  of  critical  models  of  test  equipment  by 
September  15.  The  Division  desires  to  have  its  survey  completed 
for  presentation  before  the  Test  Equipment  Industry  Advisory  Com¬ 
mittee  meeting  in  the  near  future. 

XXXXXXXX 


PETRILLO  HEARINGS  RESUME;  AGREEMENT  PLAN  RUMORS 

Hearings  of  the  War  Labor  Board  in  tho  Petrlllo  case  are 
scheduled  to  resume  today  (Friday)  in  New  York  City. 

In  the  meantime  Variety  carries  a  story  that  there  may 
be  an  outside  settlement  of  the  case .  It  says,  in  part: 

"A  strong  impression  prevails  within  the  band  booking 
industry  and  music  publishing  business  that  the  recording  ban 
is  on  the  verge  of  a  break.  Reports  from  sources  close  to  the 
contending  principals  are  that  Decca  Record  Corp.  and  the  i^erican 
Federation  of  Musicians  will  shortly  announce  that  they  concluded 
an  agreement  whereby  the  Federation  will  receive  a  royalty,  perhaps 
2/,  on  each  record  sold  by  that  company. 

"The  same  report  has  it  that  Milton  Diamond,  counsel  for 
Decca,  recently  advised  a  meeting  of  the  three  leading  phonograph 
record  manufacturers  (the  other  two  being  RCA  Victor  and  Columbia) 
that  it  looked  to  him  as  though  frcm  now  on  it  would  ’have  to  be 
every  man  for  himself, ’  and  that  subsequently  the  other  two  com¬ 
panies  relieved  Decca  of  its  commitment  to  stick  along  with  the  rest 
of  the  industry  and  not  signature  a  separate  agreement.  Decca,  in 
other  words,  was  given  carte  blanche  to  do  as  it  saw  fit." 

XXXXXXXXXXX 

-10- 


M-a  GETS  READY  FOR  TELEVISION 


9/17/43 


With  the  signing  up  of  Nat  Wolff,  chief  of  the  OWI 
Domestic  Radio  Bureau  on  the  West  Coast,  to  organize  a  radio  and 
television  department,  Metro-Goldviryn  in  Hollywood  is  preparing 
for  the  combining  sight  with  sound  after  the  war.  Mr.  Wolff  will 
join  M-G  in  October.  He  has  had  a  wide  experience  in  radio,  has 
been  with  OWI  for  two  years  and  has  closely  followed  the  develop¬ 
ment  of  television. 

It  is  expected  that  Mr.  Wolff’s  assistant,  Cornwell 
Jackson,  will  succeed  him  at  OWI. 


•  « 

: :  TRADE  NOTES 


Tuesday,  September  21,  has  been  designated  CBS  War  Bond 
Day  by  the  Treasury  Department.  On  that  day  Columbia  will  devote 
all  its  network  facilities  to  a  seventeen-hour  Bond  selling  cam¬ 
paign  --  from  8  AM,  EWT  until  1  AM,  EV/T  the  following  morning. 


Believed  to  be  one  of  the  first  national  events  of  its 
kind,  and  to  save  travel,  the  National  Association  of  Foremen’s 
’'Convention-By-Radio”  will  be  broadcast  over  the  Blue  Network 
Saturday,  Sept.  25,  at  8:15  p.m.,  EvVT,  originating  in  the  National 
Cash  Register  Building  auditorium  in  Dayton,  Ohio. 


Newspaper  advertising  to  a  total  daily  circulation  of 
over  12,000,000,  transportation  advertising,  posters,  direct  mail 
and  radio  itself  will  be  utilized  in  a  campaign  of  voluntary  pro¬ 
gram  promotion  to  be  launched  by  Columbia  Broadcasting  System  late 
this  month.  Advertising  will  be  used  in  every  ’’station  city”  in 
the  country  over  individual  station  signatures. 


Because  of  a  breakdown  of  negotiations  with  the  American 
Federation  of  Musicians  concerning  the  projected  broadcasts,  the 
Columbia  Broadcasting  System  has  the  cancellation  of  the  26-week 
series  of  Saturday  afternoon  broadcasts  by  the  Philadelphia  Orches¬ 
tra.  Eugene  Ormandy  was  to  have  conducted  the  broadcasts. 


KMMJ,  Grand  Island,  Neb.,  joined  the  Blue  Network  as  a 
basic  supplementary  station  on  Sent  ember  15. 


XXXXXXXXX 

-11- 


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Heinl  Radio  Business  Letter 


2400  CALIFORNIA  STREET 


,  D.  C. 


30 


P.ocK^uFtae^ 


N.v. 


INDEX  TO  ISSUE  OF  SEPTEMBER  21,  1943 


No  Absentees  on  PM  Educational  Channels  Fly  Warns  . .  1 

’’Gibson  Girl"  Set  of  Great  Value  in  Rescue  Work  .  3 

Greater  Capital  Official  Puts  on  Greater  Kids  Quiz  .  4 

U.S.  and  England  to  Join  in  Overseas  "Town  Meeting" 

NBC  Public  Service  Sets  Higher  Goal  for  1944  . 

Mutual  Network  Marks  9th  Year  Oct.  2  . . .  6 

CBS  to  Give  "Hitch-Hiker"  Announcements  the  Boot  .  7 

Bill  to  Kill  OWI;  Elmer  to  Ask  for  Millions  More  .  8 

Noble  Told  to  File  Statement  in  Blue  Net  Policy  .  9 

Petrillo  Partially  Lifts  Ban  on  Record  Making  .  10 

When  the  Two-Station  "Chain"  Broadcast  World  Series  .  10 

Trade  Notes  .  11 


No.  1563 


LO  lO 


September  21,  1943 


NO  ABSENTEES  ON  FIvI  EDUCATIONAL  CHi^NELS  FLY  vVARNS 

The  law  v/as  laid  down  to  the  Federal  Radio  Education 
Committee  last  Friday  by  James  L.  Fly,  Chairman  of  the  Federal  Radio 
Commission  on  making  the  fullest  possible  use  of  the  five  FM  channels 
which  the  Commission  has  set  aside  exclusively  for  the  use  of  non¬ 
commercial  educational  institutions. 

’’This  is  the  point  I  want  chiefly  to  stress  --  those 
choice  channels  were  not  set  aside  for  absentees"  Chairman  Fly  de¬ 
clared.  "The  ether  is  far  too  crowded,  the  pressure  from  other 
interests  seeking  to  use  radio  far  too  great,  to  permit  continued 
reservation  of  those  channels,  unless  educators  actually  get  busy 
and  fill  them  with  educational  stations.  There  is  no  room  for 
what  the  railroad  industry  calls  "deadheading".  If  education 
doesn’t  need  those  channels,  and  if  it  doesn’t  prove  its  desires 
and  needs  by  actually  making  intensive  use  of  them,  history  is 
going  to  repeat  itself,  and  education  will  again  find  that  it  is 
left  with  memories  of  a  lost  opportunity." 

Mr.  Fly  had  previously  explained:  "Following  a  prolonged 
struggle,  which  began  long  before  the  present  Federal  Communications 
Commission  was  set  up,  the  present  Commission  has  found  it  possible 
to  set  aside  five  educational  channels  the  country  over  exclusively 
for  the  use  of  non- commercial  educational  institutions.  Those  five 
channels  afford  room  for  hundreds  of  FM  stations  all  over  the 
country.  It  is  not  unlikely  that  every  school  board  or  other  edu¬ 
cational  body  which  so  desires  can  find  room  on  one  of  these  chan¬ 
nels  for  a  long  time  to  come.'  Moreover,  the  five  are  among  the 
choicest  channels  in  the  spectrum;  they  immediately  adjoin  the  35 
channels  set  aside  for  commercial  FM  broadcasting,  so  that  programs 
broadcast  on  these  channels  will  be  audible  not  merely  on  special 
receivers  but  on  most  ordinary  FM  home  receivers  as  well.  The 
rules  of  the  Federal  Communications  Commission  specifically  provide 
for  adult  educational  and  other  programs  aimed  at  the  community 
generally  to  be  broadcast  over  the  school  stations,  provided  only 
that  they  remain  non-commercial.  Thus  education  now  has  what  it 
has  sought  throu^i  bitter  battle  over  more  than  a  decade  --  a  home 
of  its  own  on  the  air. 

"Some  persons  have  blamed  the  old  Federal  Radio  Commission 
for  the  tendency  of  educational  stations  to  fall  by  the  wayside. 
Others  have  placed  the  blame  on  monopolistic  policies  within  the 
broadcasting  industry.  Here  again  I  want  to  express  no  opinion. 

But  I  do  want  to  suggest  that  educators  themselves  were  not  alto¬ 
gether  free  of  blame.  As  competition  in  the  radio  field  became  more 
and  more  intense,  as  equipment  became  better  and  therefore  more 
expensive,  as  program  quality  rose  and  therefore  required  more 


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9/21/43 

effort,  too  many  educational  stations  tended  first  to  lag  behind, 
and  thereafter  to  abandon  their  licenses. 

"The  Commission  has  assigned  a  sufficient  number  of 
choice  Fill  frequencies,  but  there  are  some  things  we  cannot  do  for 
you.  We  can’t  build  stations  for  you.  We  can’t  operate  stations 
for  you.  And  we  can’t  supply  programs  for  you.  These  are  things 
education  must  supply  for  itself.  And  it  must  do  so  promptly  if 
its  channels  are  to  be  maintained.  For,  if  education  does  not 
move  into  the  home  set  aside  for  it,  there  will  be  plenty  of  others 
who  will  first  seek  and  then  demand  admission  to  the  vacant  rooms. 

"On  the  new  FM  band,  you’re  going  to  be  travelling  in 
fast  company.  Your  programs  will  be  competing,  so  far  as  general 
listeners  at  least  are  concerned,  v/ith  the  best  that  commercial 
radio  can  offer.  And  remember,  it’s  easy  to  play  hookey  from  a 
radio  school.  A  mere  twist  of  the  dial  will  shut  out  17th  century 
history  or  trigonometry  and  bring  in  Jack  Benny  or  the  results  of 
the  World  Series.  I  am  myself  a  great  believer  in  competition, 
and  I  have  a  notion  that  competition  between  the  commercial  and 
non- commercial  FM  bands  will  result  in  improved  program  service  on 
both  bands. 

"The  techniques  for  reaching  and  impressing  mass  audiences 
so  skillfully  developed  by  commercial  radio  can  and  indeed  must  be 
applied,  though  perhaps  in  somewhat  modified  form,  if  the  nev/  edu¬ 
cational  FM  stations  are  to  live  up  to  their  promise. 

"By  that  I  don’t  mean  to  suggest  that  such  slogans  as 
’the  square  of  the  hypotenuse  is  equal  to  the  sum  of  the  squares 
of  the  other  two  sides'  should  be  set  to  music  and  plugged  home  to 
the  tune  of  ’Twice  as  much  for  a  nickel,  too  --  Pepsi-Cola  is  the 
drink  for  you’.  But  I  do  want  to  suggest  that  the  dramatic  and 
narrative  techniques  which  have  proved  successful  in  commercial 
competition  are  not  without  their  lessons  to  the  educator  seeking 
to  use  a  new  and  sensitive  medium. 

"After  the  war,  equipment  will  be  freely  available;  plans 
should  be  laid  now  to  get  going  at  the  earliest  possible  date.  For 
after  this  war,  there  will  have  to  be  a  reshuffle  of  frequency  as¬ 
signments.  Vi/hole  new  portions  of  the  spectrum,  formerly  deemed 
useless,  have  been  opened  up  through  wartime  research,  while  the 
expanding  need  for  world-wide  communications  and  especially  the 
vast  new  aviation  uses  of  radio,  will  in  all  probability  crowd  the 
postwar  ether  even  more  tightly  than  the  comparatively  smaller 
spectrum  was  jammed  before  the  war.  In  such  a  reshuffle,  the 
friends  of  educational  radio  will  certainly  want  to  hold  their  own. 
If  their  plans  are  ready,  and  they  can  show  both  the  real  use  to 
which  educational  frequencies  are  being  put  and  the  proposed  use 
for  which  plans  have  been  fully  laid,  the  necessary  frequencies 
will  no  doubt  remain  available.  But  if  lethargy  prevails,  and 
others  seeking  to  expand  their  own  services  are  able  to  show  that 
the  channels  reserved  for  educational  stations  are  going  to  waste, 
then  it  will  almost  certainly  be  either  difficult  or  impossible  tc 
continue  the  reservation  of  unused  frequencies." 

XXXXXXXXX 

-2- 


9/21/43 

"GIBSON  GIRL"  SET  OP  GREAT  VALUE  IN  RESCUE  WORK 

Recently  a  Sky train  transport  plane,  carying  19  sick  and 
wounded  soldiers  from  Guadalcanal,  was  forced  down  in  the  South 
Pacific.  Rescue  was  effected  by  the  three  members  of  the  crew 
througlii  the  use  of  their  emergency  radio  equipment. 

As  told  in  a  War  Department  release,  the  plane,  100  miles 
from  its  destination,  made  a  forced  landing  on  a  coral  reef.  On 
the  ninth  day  the  radio  messages  were  picked  up  and  food  v/as  dropped 
to  them  by  a  plane  from  their  own  squadron.  Two  days  later,  a 
Navy  destroyer  arrived  and  took  them  off. 

The  radio  credited  with  bringing  succor  to  the  stranded 
men  is  the  Army’s  "Gibson  Girl,"  now  standard  equipment  on  all'  Air 
Force  planes  making  overwater  flights.  It  was  developed,  in  con¬ 
junction  with  commercial  radio  firms,  by  the  Signal  Corps,  Army 
Service  Forces,  which  also  procures  and  maintains  it. 

So-called  because  of  its  hour-glass  figure,  made  famous 
by  Charles  Dana  Gibson,  the  "Gibson  Girl"  is  an  automatic  trans¬ 
mitter,  pre-tuned  to  the  international  distress  frequency.  An 
airman,  forced  down  at  sea,  merely  turns  a  crank,  activating  a 
keying  mechanism  which  sends  out  an  SOS.  Since  all  ocean-going 
vessels  are  required  to  maintain  a  constant  watch  on  the  distress 
frequency,  the  ciiances  of  being  picked  up  are  good.  Wlien  more  than 
one  receiving  station  picks  up  the  call  for  help,  the  position  of 
the  survivor  can  be  plotted  through  triangulation. 

Weighing  about  35  pounds,  the  set  is  packed  in  a  bright 
yellow  bag  which,  when  parachuted  from  a  plane  about  to  "sit  down," 
can  be  easily  identified  on  the  sea.  It  is  unsinkable,  as  was  il¬ 
lustrated  not  long  ago  by  a  newspaper  report  from  England  telling 
how  seven  crewmen  of  a  crippled  Flying  Portress,  forced  down  in  the 
North  Sea  after  a  raid  on  Germany,  v/ere  picked  up  after  battling 
frigid,  40-foot  ;vaves  for  eight  hours. 

The  Fortress  struck  the  water  with  such  force  it  broke 
in  two  and  sank  "so  quickly  we  were  unable  to  remove  the  plane’s 
tv/o  life  rafts  and  emergency  radio,"  the  survivors  said.  "For¬ 
tunately,  these  vital  pieces  of  equipment  floated  to  the  surface 
soon  after  the  plane  went  down." 

Two  methods  of  raising  the  300-foot  copper  wire  aerial 
are  available  to  airmen  afloat.  A  collapsible  box  kite  is  provided 
for  windy  weather.  T'wo  rubber  balloons,  for  use  when  there  is  no 
wind,  can  be  filled  from  two  hydrogen  generators  which  are  part  of 
the  complete  equipment. 

A  small  button,  on  the  face  of  the  set,  allows  regular 
messages  to  be  sent.  The  Morse  Code  is  printed  on  the  top  of  the 
set,  for  those  who  do  not  know  radio  dots  and  dashes.  Pjl  integral 
part  of  the  equipment  is  a  lamp  which  can  be  powered  by  turning 
•the  crank.  Although  the  Axis  is  knovm  to  have  a  similar  piece  of 


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apparatus,  American  radio  engineers  consider  the  ’’Gibson  Girl”  far 
superior.  The  keying  mechanism  is  an  important  development  while 
the  antenna  raising  devices--the  kite  and  the  balloons — give  it 
far  greater  range.  The  hydrogen  generators  cut  down  the  time  for 
inflation  of  the  balloons  by  75  per  cent  over  the  methods  used  by 
the  enemy  for  the  same  purpose. 

XXXXXXXXX 

GREATER  CAPITi\L  OFFICIAL  PUTS  ON  GREATER  KIDS  QUIZ 

Finding  Constitution  Hall  sold  out  to  a  $3,500,000  Third 
War  Loan  Bond  audience  to  hear  the  Quiz  Kids  and  a  lot  of  people 
still  unable  to  secure  tickets,  Edgar  Morris,  Zenith  Radio  distri¬ 
butor  in  Washington  and  mainspring  of  the  Greater  National  Capital 
Committee  of  the  Washington  Board  of  Trade,  corralled  the  Kids  for 
a  preview.  It  took  the  form  of  a  reception  given  at  the  Mayflower 
by  the  Committee  at  miich  children  of  the  Diplomatic  Corps  v/ere 
special  guests.  As  a  diversion  Mr.  Morris  had  the  Quiz  ICids  ask 
the  questions  and  the  boys  and  girls  from  Russia,  Mexico,  Czecho¬ 
slovakia,  Lithuania,  San  Domingo  and  other  countries  answer  them. 
The  event  assumed  such  importance  that  the  Blue  Network  decided 
to  broadcast  it  and  the  children,  gaily  attired  in  their  native 
costumes,  made  a  brightly  colored  scene  as  they  gathered  about  the 
microphone . 


Percy  Sherwood,  who  appeared  to  be  about  10  years  old, 
son  of  the  Naval  Attache’  of  the  Canadian  Legation,  proved  the 
first  casualty  when  one  of  the  Quiz  Kids  asked  ”How  did  you  get 
the  Maple  Leaf  in  Canada?”  ”l  don’t  Imow”  Percy  replied.  His 
answer  was  so  frank  and  manly  that  the  audience  plainly  sympothized 
with  him  and  applauded  him  later  as  he  quickly  gave  the  right 
answers  to  other  questions. 

The  highlight  of  the  occasion  was  v/hen  Quiz  Kid  Gerard 
Darrow,  age  11,  asked  Mary  Jane  Soong,  daughter  of  Foreign  Minister 
Soong,  of  China:  ’’Are  the  Chinese  women  as  tactful  as  they  are 
supposed  to  be?”  Mary  Jane  replied  without  hesitation:  ’’Some  are 
and  some  are  not.” 

Sabu,  movie  star  in  Kipling’s  ’’Jungle  Book",  and  "Elephant 
Boy”,  and  now  in  the  U.  S.  Array,  tried  to  put  Quiz  Kid  Richard 
Williams,  the  math  wizard  on  the  spot  with  this  one: 

"Two  boys  divide  $5  in  such  a  way  that  one  gets  25  cents 
more  than  the  other.  How  much  does  each  get?" 

Richard,  smiling  at  the  cocky  son  of  India,  replied: 

"^Vhy,  one  gets  $2.62|-  and  the  other  $2.37^.  Are  there 
any  more  questions,  Sabu?’’ 

A  v/oraan  reporter  asked  Quiz  Kid  Margaret,  "Who  is  the 
Mayor  of  Washington?”  Her  reply  was:  "There  is  no  Mayor  here.” 


-4- 


:  ^  ‘V  *  .  '  ■ 


9/21/43 


However,  the  Kids  learned  the  answer  to  that  one  the  hard  way 
earlier  in  the  day  when  a  newspaper  man  asked  the  same  question 
and  they  all  narrowly  escaped  biting  the  dust  on  It. 

XXXXXXXXXX 


U.S.  AND  ENGLAND  TO  JOIN  IN  OVSRSi^AS  "TOV/N  MEETING" 

Radioes  first  two-way  audience  pa2 ticipation  hook-up 
with  full  heckling  privileges  on  both  sides  of  the  Atlantic  has 
been  arranged  by  the  Blue  Network  and  the  British  Broadcasting 
Company  for  the  two  trans-Atlantic  broadcasts  of  "America's  Tovm 
Meeting"  which  will  be  heard  in  this  country  over  the  Blue  Network 
on  Sept.  30  and  Oct.  7  at  8:30  p.ra.,  E.W.T. 

Through  radio  an  audience  in  Town  1  all  and  an  audience 
in  London  will  be  able  to  join  together  in  discussion  of  questions 
affecting  both  peoples.  Two  speakers  v/ill  be  heard  in  Town  Hall 
in  New  York  and  tv/o  speakers  from  London  with  George  V.  Denny,  Jr., 
moderating  the  discussion  from  England.  Questions  from  the 
audience  for  both  American  and  British  speakers  will  be  exchanged 
across  the  Atlantic. 

"How  Must  We  Deal  with  Germany  After  *;he  War  to  Win  the 
Peace?"  is  the  subject  of  the  first  broadcast,  iihich  will  be  trans¬ 
mitted  on  Saturday  morning.  Sept.  25  and  will  be  heard  in  America 
by  transcription  at  the  regular  broadcast  hour  o. i  Sept.  30. 

Miss  Dorothy  Thompson,  columnist  and  Dr  .  Richard  Brickner, 
author  of  "Is  Germany  Incurable?",  v/ill  be  the  sp  makers  in  Town 
Hall.  Sir  Robert  Gilbert  Vansittart,  British  dlpl  omat,  and  Miss 
Jennie  Lee;  former  member  of  Parliament,  will  be  the  speakers  from 
London. 


"How  Must  We  Deal  With  Japan  After  the  W£  r  to  Win  the 
Peace?"  is  the  subject  of  the  second  broadcast.  Speakers  on  this 
program  will  be  announced  later. 

XXXXXXXXXX 


NBC  PUBLIC  SERVICE  SETS  HIGHER  GOAL  FOR  1944 

Attainment  during  the  coming  year  of  public  service 
programs  of  still  greater  quality  was  the  goal  set  for  the  NBC 
public  service  department  by  Niles  Trammell,  presiden!:,  last  week 
at  the  conclusion  of  a  two-day  department  meeting.  D. ’.  James 
Rowland  Angell  public  service  counsellor,  presided. 

Mr.  Trammell  expressed  satisfaction  with  de\elopments  in 
the  oublic  service  picture  since  the  establishment  of  a  separate 
public  service  department  nine  months  ago  but  added  that  he  expect¬ 
ed  further  progress  in  the  future.  Frank  E.  Mullen,  vice-president 
and  general  manager,  declared  that  the  department,  in  :he  short 


-5- 


I 


9/21/43 


period  of  its  existence,  had  succeeded  in  integrating  itself  with 
the  complicated  network  setup  and  that  public  service  programming 
had  profited  as  a  result. 

The  meetings  opened  Tuesday  in  Radio  City  with  a  report 
by  Jane  Tiffany  Wagner,  NBC  director  of  war  activities  for  women. 

She  announced  that  a  total  of  28,182  nurses,  89,994  nurses’  aides, 
and  749,475  home  nursing  students  have  been  entrolled  by  the 
American  Red  Cross  through  the  NBC  program,  "That  They  Might  Live." 

A  plan  for  a  public  service  series  which  would  invite  the 
cooperation  of  outside  groups  at  different  intervals  through  the 
year  was  suggested  by  Clarence  L.  Menser,  vice-president  in  charge 
of  programs.  John  H.  MacDonald,  vice-president  in  charge  of 
finance,  declared  that  NBC  was  prepared  to  back  the  department  with 
necessary  funds  on  all  worthwhile  public  service  programs.  Max 
Jordan,  director  of  religious  broadcasts,  told  of  the  new  studios 
which  had  been  built  for  religious  programs  and  outlined  plans  for 
the  coming  year. 

A.  L.  Ashby,  vice-president  and  general  counsel,  reviewed 
the  status  of  public  service  broadcasting  in  the  light  of  the 
Supreme  Court  ruling  on  FCC  regulations,  and  Albert  E.  Dale,  direct¬ 
or  of  information,  brought  the  meeting  up  to  date  on  political 
developments  in  Washington. 

xxxxxxxxxx 


MUTUAL  NETWORK  MARKS  9TH  YEAR  OCT.  2 

The  Mutual  Broadcasting  System,  which  started  with  only 
four  stations  in  1934,  will  mark  its  Ninth  Anniversary  on  October  2 
as  a  network  with  211  affiliates  and  with  outlets  in  Canada, 

Hav/ailan  Islands  and  in  Mexico  through  Radio  Mil. 

A  highlight  of  the  network’s  birthday  celebration  will  be 
the  appearance  of  President  Miller  McClintock  on  "California 
Melodies"  over  Mutual  Saturday  (Oct.  2)  8  p.m.,  IH/VT. 

"We  can  point  with  pride  to  a  record  of  remarkable  growth 
in  facilities,  programming  and  advertiser  acceptance,"  said  Mr. 
McClintock.  "Our  plans  for  the  future  encompass  even  greater  ac¬ 
complishments.  But  on  behalf  of  every  Mutual  station  and  every 
member  of  our  personnel  I  want  to  say  that  our  major  task  as  we 
look  to  the  future  is  to  contribute  even  more  than  our  full  share 
to  the  war  effort  to  hasten  the  day  of  peace  throughout  the  worlds" 

Keeping  pace  with  Mutual’s  rapid  growth  in  member  stations 
is  the  network’s  billing  figures.  At  the  end  of  Mutual’s  first 
year  billings  were  |1, 422, 413.  At  the  end  of  another y-ear  the  fiPwl; 
digit  was  a  "2"  instead  of  a  "l".  By  1941  billings  totalled 
1-5,000,000.  Last  year  gross  billings  exceeded  |>95500,000.  This 
year  it  is  anticipated  that  they  will  top  $14,000,000. 

XXXXXXXXXX 

-6- 


9/21/43 

CBS  TO  GIVE  "HITCH-HIKER*'  ANNOUNCEMENTS  THE  BOOT 

The  Columbia  Broadcasting  System  has  invited  its  clients 
and  affiliated  stations  to  remove  a  triple  threat  against  the  sound¬ 
ness  and  success  of  radio  advertising  by  the  elimination  of  "covj- 
catchers"  and  "hitch-hikers."  These  two  cast-off  commercials,  in 
combination  with  station-break  announcements,  constitute  "the  trip¬ 
hammer  trio"  which,  it  was  said,  threaten  the  effectiveness  of 
radio  advertising. 

Elimination  of  the  triple  sequence  of  simulated  spot  an¬ 
nouncements  on  the  network  was  endorsed  by  the  CBS  Affiliates 
Advisory  Board  at  its  fall  meeting  in  New  York.  The  action  follows 
an  analytical  review  of  the  entire  field  of  "plug  ugly"  criticism. 

The  new  policy  which  becomes  fully  effective  October  1, 
is  delineated  as  follows; 

1.  No  change  in  standard  time  limits  for  commercial  ad¬ 
vertising  on  quarter-hour,  half-hour  or  full  hour  programs. 

2.  No  restriction  cn  the  number  of  products  any  client 
may  advertise  within  such  time  limits. 

3.  The  only  actual  change  precludes  "simulated"  spot 
announcements  which  pretend  to  be  divorced  from  the  program  by 
preceding  the  introduction  of  the  program  itself  or  following  the 
apparent  sign-off. 

This  move  to  encompass  all  commercials  within  the  limits 
of  the  radio  program  itself,  according  to  the  CBS  announcement,  it 
expresses  our  confidence  in  the  highest  skill  in  selection  and  use 
of  broadcast  advertising  which  in  recent  years  has  amounted  to  a 
new  tonal  range  and  widens,  we  believe,  the  horizons  for  its  fur¬ 
ther  and  effective  use." 

Painstaking  research  over  a  long  period  convinced  CBS  of¬ 
ficials  that  practically  all  unfavorable  criticism  of  radio  adver¬ 
tising  was  leveled  -  not  at  material  intimately  linked  to  radio 
entertaining  but  —  at  the  "cast-off"  commercials  cut  adrift  from 
entertainment. 

Labor atory test s  established  that  listeners  registered 
annoyance  strongly  when  two  or  more  consecutive  commercials  were 
heard  between  programs.  The  same  total  amount  of  advertising  was 
often  rated  by  listeners  as  "25  pe  r  cent  to  50  per  cent  more"  when 
it  was  dislocated  from  the  body  of  the  program.  Hence  the  "too 
much  advertising"  illusion  and  the  "plug  ugly"  complaint.  Even 
more  striking,  these  experiments  revealed; 

"Most  listeners  indicated  they  would  rather  hear  a  long 
commercial  with  entertainment  than  a  short  commercial  without." 

Admitting  that  the  network  itself  must  assume  full  respon¬ 
sibility  for  the  problem  of  the  "triple  threat:"  against  the 

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9/21/43 


soundness  and  success  of  radio  advertising,  a  straightforward  state¬ 
ment  by  CBS  to  its  clients  and  affiliate  stations  points  out  that 
the  action  is  designed  to  protect  ’’the  indispensable  idea  in  broad¬ 
cast  advertising.'* 

The  opprobrious  terms,  "hitch-hiker”  and  "cow-catcher," 
over  the  years  have  entrenched  themselves  strongly  in  the  lexicon 
of  radio.  They  refer  respectively  to  detached  commercials  sand¬ 
wiched  in  between  closing  and  openings  of  programs.  Interlarded 
between  these  two  is  the  station-break  commercial.  In  the  aggre¬ 
gate  these  constitute  "the  triple  threat." 

XXXXXXXXXX 


BILL  TO  KILL  OWI ;  ELMER  TO  ASK  FOR  MILLIONS  MORE 

Elmer  Davis  surely  can  take  it.  Notwithstanding  the  fact 
that  Representative  Barry  (D)  of  New  York  has  introduced  a  bill  to 
abolish  the  Office  of  War  Information  and  also  that  the  last  time 
Elmer  asked  Congress  for  money  his  bureau  was  almost  wiped  out  ar^ 
furthermore  that  only  a  v;eek  or  so  ago  Davis  gave  Congress  a  beau¬ 
tiful  bawling  out,  he  expects  soon  to  again  join  the  Congressional 
breadline  asking  for  another  15,000,000. 

The  outburst  of  Mr.  Davis,  who  even  yet  has  apparently 
not  learned  that  it  is  bad  business  for  a  Government  employe  like 
himself  to  talk  back  to  Congress,  came  when  he  v/as  asked  to  reply 
to  the  charges  of  Rep.  J.  7/.  Ditter,  Chairman  of  the  Republican 
National  Committee  that  OWI  has  been  on  probation  and  with  its 
numerous  blunders  had  violated  the  parole.  Davis  replied: 

"There  was  no  probation  about  it.  Our  enemies  in  the 
House  wanted  to  destroy  the  OWI  domestic  branch  but  when  they  found 
it  would  incur  too  much  political  opprobrium  they  then  tried  to 
cripple  us  and  failed. 

"They  didn't  destroy  us,  but  they  managed  to  give  us  a 
pretty  hard  wallop.  They  left  us  enough  money  to  do  a  pretty  fair 
job  but  it  wasn't  the  fault  of  Mr.  Ditter  and  his  friends. 

"It  takes  a  good  deal  of  gall  to  talk  of  probation  after 
that--not  that  I  put  too  much  weight  on  the  utterances  of  Mr. 
Ditter."  \/Vhile  abolishing  OWI  the  bill  of  Representative  Ditter 
would  transfer  its  activities  to  the  State  Department. 

The  Office  of  War  Information  has  reorganized  its  over¬ 
seas  division  anew,  and  simultaneously  has  laid  plans  to  ask 
Congress  for  several  million  dollars  of  additional  funds  to  keep 
the  propaganda  war  in  step  with  the  march  of  military  events. 

The  change  affected  mainly  the  European  and  African 
theater.  It  makes  James  P.  Warburg,  deputy  director  in  charge  of 
psychological  warfare  policy  since  last  February,  responsible  for 
United  States  propaganda  aimed  at  enemy  and  occupied  nations,  and 
puts  Ferdinand  Kuhn  in  charge  of  information  programs  among  the 

-8- 


..JO 


9/21/43 


neutral  and  Allied  countries.  Robert  Sherwood,  director  of  OWI’s 
overseas  branch,  said  military  developments  in  the  last  seven  months 
necessitated  the  separation  of  informational  activity  from  propa¬ 
ganda  warfare. 

XXXXXXXXXX 

NOBLE  TOLD  TO  FILE  STATEI'/IENT  IN  BLUE  NET  POLICY 

Chairman  James  F.  Fly  of  the  Federal  Communications  Com¬ 
mission  Monday  afternoon  requested  Edward  J.  Noble,  proposed  buyer 
of  the  Blue  Network,  to  file  with  the  commission  a  statement  of 
general  policy  in  the  handling  of  the  network. 

Chairman  Fly,  who  told  Mr.  Noble  that  he  could  have  "all 
the  time  he  wanted"  to  compile  the  statement,  said  the  commission 
could  not  act  "until  we  know  what  you  intend  to  do  in  terms  of 
general  policy."  The  hearing  was  adjourned  indefinitely  to  await 
a  reply  from  Noble. 

Referring  to  published  reports  that  a  labor  organization 
had  been  denied  time  to  discuss  pending  legislation,  Mark  Woods, 
present  head  of  the  Blue  Network,  said  he  did  not  know  of  any  appli¬ 
cation  from  a  labor  organization  to  his  network.  He  said  that  he 
would  not  approve  of  selling  time  to  a  labor  organization  under 
those  circumstances,  but  "if  they  had  a  point  to  make,  we’d  give 
them  the  time  free  of  charge." 

Mr.  Noble,  former  Undersecretary  of  Commerce,  earlier 
told  the  commission  he  did  not  favor  the  selling  of  radio  time  to 
those  who  sought  to  "sell"  a  philosophy  rather  than  goods  and 
services . 


Mr.  Noble’s  statement  was  in  reply  to  a  question  from 
Mr.  Fly  about  the  sale  of  radio  time  to  a  certain  automobile  manu¬ 
facturer,  with  a  commentator  on  its  program  and  refusal  to  give 
time  to  a  symphony  broadcast  by  a  labor  organization. 

Mr.  Noble  said  he  would  approve  of  the  sale  of  time  to 
the  motor  company  so  long  as  it  tried  to  sell  "goods  and  services," 
but  if  it  tried  to  put  across  any  particular  philosophy  he  told  Mr. 
Fly  that  he  would  expect  Mr.  Woods  "to  do  something  about  it." 

Asked  about  the  use  of  time  by  labor  organizations, 
church  groups  and  manufacturing  associations  and  small  business 
organizations,  Mr.  Noble  replied: 

"I  think  they  should  be  treated  fairly  and  equitably,  re¬ 
gardless  of  financial  strength  or  political  control." 

At  the  outset  of  the  hearing  Monday,  C,  Nicholas  Priaulx, 
treasurer  and  general  manager  of  Station  vVMCA,  owned  by  Mr.  Noble, 
testified  that  the  prooosed  purchase  price  of  $8,000,000  for  the 
network  was  based  on  a  study  of  profit  and  loss  figures,  opinion 
on  the  future  of  radio  and  plant  equipment  ac  the  stations. 

XXXXXXXXXX 

-9- 


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i*.--  . 


9/21/43 


PETRILLO  PARTIALLY  LIFTS  BAN  ON  RECORD  MAKING 

As  a  result  of  an  agreement  reached  last  Saturday  in 
Chicago  by  Decca  Records,  Inc.,  and  its  transcription  subsidiary 
World  Broadcasting  System  with  James  C.  Petrillo,  head  of  the 
American  Federation  of  Musicians  these  concerns  v/ill  be  allowed 
to  resume  the  making  of  records  and  transcriptions.  The  terms  of 
the  agreement  were  not  made  public. 

A.  Walter  Socolow,  counsel  for  six  transcription  com¬ 
panies  still  under  the  Petrillo  ban,  said  that  "no  direct  offer" 
has  been  made  to  his  clients  by  Mr.  Petrillo,  but  that  the  latter 
Intimated  last  week  that  any  agreement  with  one  transcription 
company  would  be  available  to  all  of  them.. 

"We  will  be  eager  and  willing  to  make  a  deal  that  will 
allow  the  men  to  return  to  work  promptly,"  Mr.  Socolow  said,  add¬ 
ing  that  "we  want  to  know  what  the  deal  ls--whether  we’re  paying 
the  men  or  the  union — and  what  the  principle  is." 

The  War  Labor  Board’s  hearing  on  the  Petrillo  case  ad¬ 
journed  Monday  in  New  York  after  a  short  session  evidently  to  give 
the  parties  in  the  controversy  a  chance  to  confer  further  as  a 
result  of  the  Decca  settlement. 

Joseph  A.  Padway,  attorney  for  the  union,  and  Milton 
Diamond,  counsel  to  Decca,  refused  to  make  oublic  details  of  their 
pact  until  it  had  been  reduced  to  legal  form,  a  fact  that,  tem¬ 
porarily  at  least,  delayed  efforts  toward  a  general  settlement  of 
the  strike  with  other  concerns. 

As  Decca  and  its  transcription  subsidiary.  World  Broad¬ 
casting  System,  resumed  business  operations,  Mr.  Socolow  sought  to 
have  the  musicians  return  to  y/ork  immediately  for  his  clients  at 
whatever  fees  the  Decca  deal  provided. 

Mr.  Padway  rejected  the  request  on  the  ground  that  the 
concerns  could  build  up  a  backlog  of  discs  and  then,  if  they  wish¬ 
ed,  refuse  the  Decca  terms  as  a  permanent  settlement. 

Reports  circulated  meanwhile  in  the  hearing  room  accord¬ 
ing  to  the  New  York  Times  that  Mr.  Petrillo  had  won  a  major  victory 
under  the  Decca  contract.  Contrary  to  reports  last  week  from 
Chicago,  it  viras  said  that  the  contract  provided  for  payment  of  fees 
directly  to  the  naticmal  union’s  headquarters,  as  Mr.  Petrillo  had 
demanded  from  the  first. 

X  X  X  X  X  X 

WHEN  THE  TWO- STATION  "CHAIN"  BROADCAST  WORLD  SERIES 

Chain  broadcasting,  which  has  made  radio  the  educational 
and  entertaining  medium  that  it  is  today,  has  come  a  long  way  from 
the  first  chain  program,  which  broadcast  the  World  Series  ball 
games  direct  from  the  playing  field  in  New  York  in  1922,  to  this 
day  when  world-wide  hookups  are  not  uncommon  to  the  listening 
public,  according  to  Kolin  Hager,  manager  of  General  Electric’s 
station  WGY  which,  with  WJZ  in  New  York,  introduced  and  pioneered 
in  chain  broadcasting  21  years  ago. 

-10- 


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9/21/43 


American  servicemen  all  over  the  world  will  hear  the 
Ytforld  Series.  Arrangements  are  now  being  made  by  the  Mutual  Broad¬ 
casting  System  to  short  wave  the  games  to  our  fighting  men.  For 
the  fifth  consecutive  year,  the  series  will  be  broadcast  exclusive¬ 
ly  over  Mutual  under  the  sponsorship  of  the  Gillette  Safety  Razor 
Company.  The  razor  firm  paid  "the  radio  rights  and 

the  American  Red  Cross  will  be  the  chief  beneficiary. 


Several  two-way  radio  sets  have  been  ourchased  by  the 
Gnilean  highway  department  for  use  of  crews  working  at  great 
distances  from  to’wns.  Heretofore  the  highway  department  frequently 
had  no  contact  with  groups  in  isolated  areas  for  periods  of  several 
months.  The  department  v/as  unable  to  convey  important  information 
to  the  workers,  and  employees  were  unable  to  report  accidents  or 
shortages  of  material. 


Companhia  Radio  Internacional  do  Brasil  has  been  author¬ 
ized  by  the  Brazilian  Government  to  extend  service  to  Belem, 
Fortaleza,  and  Natal.  Plans  are  being  made  to  establish  stations 
in  Porto  Alegro,  Curitiba,  Sao  Salvador  (Bahia),  Recife  (Pernam¬ 
buco),  Natal,  Belem,  and  Fortaleza. 

Chile’s  imports  of  radio  receiving  sets  and  parts  were 
substantially  greater  in  1941  than  in  1940,  according  to  recently 
released  trade  figures.  In  1941  imports  totaled  364,154  kilograms 
and  were  valued  at  4,977,939  pesos,  while  the  preceding  year 
similar  imports  amounted  to  293,758  kilograms  with  a  value  of 
3,906,409  pesos. 


Harold  Udkoff  and  Harold  A.  Haytin,  trading  as  U.  S. 
Enterprises,  Beverly  Hills,  Calif.,  assembling  and  selling  so- 
called  first  aid  kits,  and  Stephen  P,  Shoemaker,  Los  Angeles, 
preparing  the  radio  advertising  disseminated  by  the  other 
respondents,  have  entered  into  a  stipulation  with  the  Federal 
Trade  Coram.ission  to  cease  and  desist  from  representing  that  the 
first  aid  kits  sold  by  them  meet  with  the  suggestions  of  the 
Office  of  Civilian  Defense,  that  the  kits  are  adequate  for  the 
requirements  of  homes  generally,  or  that  they  have  been  recom¬ 
mended  or  aporoved  by  the  Office  of  Civilian  Defense. 


-11- 


Heinl  Radio  Business  Letter 


2400  CALIFORNIA  STREET 


‘  WASHINGTON,  D.  C. 


%o 

% 


INDEX  TO  ISSUE  OP  SEPTEMBER  24,  1943 


Senators  Try  to  Beat  Each  Other  Introducing  Quiz  Kids  .  1 

RI^IA  Steps  Up  $4,000,000,000  Military  Radio  Program  .  2 

Hearing  Set  For  Oct.  11  on  Sale  of  WPTL  to  Storer  .  3 

House  Judiciary  Committee  Sidesteps  Cox-FCC  Row  .  4 

Switzerland  Linked  to  U,  S.  hy  RCA  Radiophoto  Service  .  5 

FCC  to  Investigate  Racing  Circuits  .  5 

Believed  FCC  Approval  of  Blue  Net  "is  in  the  Bag"  . 6 

Sharpe  New  WPB  Radio  Division  Assistant  Labor  Aide  .  7 

Cecil  Brown  Out  of  CBS;  V\/hite  Again  Hits  Commentators  .  8 

Drew  Pearson  and  Blue  Sued  for  $28,000,000  . . . 10 

VVOR  Signs  Up  With  Petrillo;  6  Concerns  Still  Hold  Out  . 10 

To  Press  Probe  of  FCC  Alleged  Reds;  Hits  Back  at  FDR  . 11 


No.  1564 


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September  24,  1943 


SENATORS  TRY  TO  BEAT  EACH  OTHER  INTRODUCING  QUIZ  KIDS 

There  was  a  scramble  among  senators  to  introduce  the 
Quiz  Kids  in  Washington  on  a  War  Bond  tour,  when  they  visited 
the  Senate  last  Tuesday.  Rising  in  his  seat,  Senator  Hatch  of 
Arizona  said:  "The  Senate  has  on  many  occasions  had  distinguished 
visitors  to  whom  it  has  paid  tribute.  I  now  wish  to  interrupt 
the  proceedings  of  the  Senate  sufficiently  long  to  call  attention 
to  the  fact  that  there  sits  in  the  family  gallery  at  this  time, 
on  the  front  row,  a  distinguished  group  of  citizens  for  whom  I 
have  the  highest  admiration  and  respect.  They  are  commonly  re¬ 
ferred  to  as  The  Quiz  Kida.  Every  Sunday  night  v/hen  it  is  possible 
I  listen  to  their  radio  program  with  a  great  deal  of  Interest,  and 
obtain  not  only  pleasure  and  entertainment,  but  a  great  deal  of 
information.  I  am  happy  to  have  the  Senate  pause  at  this  time  in 
its  deliberations  to  recognize  these  young  people,  and  to  say 
that  we  are  delighted  to  have  them  as  our  guests  today." 

Whereupon  Senator  Lucas  of  Illinois  broke  in  with: 

"The  Senator  from  New  Mexico  has  made  my  speech.  I  was  sitting 
here  quietly  waiting  for  an  opportunity  to  say  what  my  able  friend 
has  said  about  these  distinguished  young  people  in  the  gallery, 
because  they  happen  to  be  ray  guests  in  the  Senate  today. 

"Perhaps  I  should  apologize  to  the  Senator  from 
Illinois  for  having  anticipated  him",  Senator  Hatch  said. 

"Not  at  all". 

"I  ¥/ish  to  recognize  the  fact  that  these  young  people 
come  from  the  Senator’s  city  of  Chicago,  but  neither  his  city  nor 
the  State  of  Illinois  has  any  monopoly  upon  the  entertaining  and 
educational  features  of  their  program.  I  feel  that  they  belong 
to  the  entire  country,"  the  Senator  from  Arizona  persisted. 

"There  is  no  doubt  of  that",  the  Senator  from  Illinois 

commented. 


"l  am  sure  the  Senator  will  point  out  now  the  pur¬ 
poses  of  their  present  tour,  which  I  forgot  to  mention".  Hatch 
put  in. 


"There  is  no  question  about  what  the  Senator  has  said 
to  the  effect  that  these  young  people  belong  to  the  Nation  and  to 
no  particular  State,"  Senator  Lucas  said.  "But,  fortunately  for 
Illinois,  three  of  them  live  in  the  city  of  Chicago,  and  the 
other  youngster  lives  in  the  State  of  Indiana." 


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9/24/43 


"There  is  no  citizenship  in  the  United  States  that 
more  uniformly  listens  to,  or  appreciates  more  keenly,  the  pro¬ 
gram  of  the  Quiz  Kids  on  Sunday  night  than  the  people  of  Kentucky, " 
Senator  Barkley  of  Kentucky  disclosed.  "I,  myself,  listen  to 
them  nearly  every  Sunday  night,  and  I  enjoy  their  program.  I 
listened  last  Sunday,  and  I  was  not  only  entertained  and  amazed 
by  some  of  their  erudite  answers  to  questions,  which  are  not  pre¬ 
arranged,  as  I  understand,  but  I  was  also  very  much  amused  at  the 
situation  which  arose  when  the  young  lady  from  Brazil,  I  think 
Anna  Maria  Martins,  paid  a  very  deserved  compliment  to  one  of  the 
boys  of  the  group,  I  believe  Richard. 

"I  wish  simply  to  say  that  not  only  was  the  compliment 
well  deserved,  but  if  occasion  arose  I  could  pay  the  same  kind  of 
compliment  to  them  all,  not  only  from  the  standpoint  of  their 
appearance  and  their  standing,  but  to  me  it  seems  amazing  that 
young  girls  and  boys  of  their  tender  age  have  been  able  to 
accumulate  such  a  vast  store  of  knowledge  as  to  be  able  to  ansv/er 
questions  which,  I  am  sure,  would  sometimes  embarrass  even 
Members  of  this  body,  as  I  know  they  would  me." 

Miss  Martins,  the  daughter  of  the  Ambassador  from 
Brazil,  during  the  broadcast  last  Sunday  night,  first  delivered 
a  short  message  in  Portuguese  to  be  short-wave  by  the  Blue  Net- 
v/ork  to  South  America,  and  then  she  repeated  it  in  French.  V/hen 
asked  to  translate  this  in  English,  Miss  Martins  at  first  demurred 
and  then  replied  blushingly;  "l  said  I  felt  honored  to  be  asked 
to  appear  on  a  program  with  the  Quiz  Kids  --  especially  with 
Quiz  Kid  Richard  who  is  so  handsome." 

This  little  confession  almost  stopped  the  shov/.  The 
Quiz  Kids  were  also  introduced  to  Vice-President  Wallace  and 
later  were  photographed  with  Mrs.  Eisenhower,  wife  of  the  Generals 

X  X  X  X  X  X  X  X 

mk  STEPS  UP  14,000,000,000  MILITARY  RADIO  PROGRAIvI 

The  Radio  Manufacturers  Association  is  doing  its 
utmost  to  solve  the  many  problems  facing  the  manufacturers  in 
stepping  up  the  4  billion  dollar  military  radio  program.  This 
was  the  predominant  note  of  the  fall  meeting  of  the  association 
held  in  New  York  last  week. 

The  RMA  board  approved  an  increased  annual  budget  for 
extension  of  Association  work;  authorized  subscription  of 
|25,000  to  the  "Back  the  Attack"  war  bond  campaign  and  approved 
applications  of  fourteen  new  RMA  members,  bringing  the  associa¬ 
tion  membership  to  its  greatest  strength  since  1931.  As  sponsored 
by  RMA  and  the  Institute  of  Radio  Engineers,  formal  organization 
was  effected  of  the  post-war  Radio  Te clinical  Planning  Board.  The 
next  meeting  of  RTPB  will  be  held  September  29  at  Nev/  York. 

The  Set  Division  and  the  executive  committee  of  the 
Parts  Division,  and  also  the  special  Postwar  Planning  Committee 


-2 


s. 


9/24/43 


held  meetings.  Cooperation  between  prime  and  sub-contractors  on 
contract  cancellations  was  arranged  by  the  Set  and  Parts  Division, 
which  held  a  joint  conference  on  equitable  procedure. 

Maintenance  of  the  public’s  receiving  sets,  of  which 
tube  replacements  are  the  major  and  growing  shortage,  was  dis¬ 
cussed  at  the  Board  meeting.  Arrangements  for  cooperation  of 
set  manufacturers  were  made.  Tube  Division  members  later  held 
another  meeting  on  the  civilian  replacement  program  with  WPB 
Radio  Division  officials*  V/ar  contract  termination  problems 
were  discussed  separately  and  also  jointly  by  the  Set  and  Parts 
Divisions  in  New  York  v/hich  conferred  with  the  set  manufacturers 
and  arranged  for  cooperation  and  exchange  of  information  on 
termination  clauses  for  war  contracts  which  would  be  more  equi¬ 
table  for  parts  manufacturers.  Plans  also  were  made  for  prompt 
approval  of  claims  and  payment  of  parts  manufacturers  in  the 
settlements  of  war  contracts. 

Arrangements  were  made  to  re-establish  the  Advertising 
Committee  which  was  suspended  when  the  industry  v/as  converted  to 
war  production.  Trade  practices  v/ill  be  under  the  committee’s 
jurisdiction  and  it  also  will  act  in  the  promotion  of  better 
understanding  of  the  industry’s  contribution  to  War  production. 
Another  function  in  paving  the  way  for  future  industry  conversion 
to  peace  production,  will  be  ihformation  to  the  public  on  the 
increased  cost  of  labor  and  materials  occurring  during  the  gap 
between  suspension  and  resumption  of  commercial  production. 
Compilation  of  industry  statistics  and  market  surveys  also  was 
planned  by  the  Set  Division  and  Postwar  Planning  Committee,  to¬ 
gether  with  export  trade  promotion.  Patent  and  licensing  problems 
also  v/ere  discussed  at  the  New  York  meetings,  including  legisla¬ 
tion  now  pending  in  Congress  and  also  future  postwar  patent 
problems.  The  Legislative  Committee  and  the  Association’s  execu¬ 
tive  committee  were  authorized  to  take  proper  action  on  all  patent 
legislation. 


XXXXXXXXX 
HEARING  SET  FOR  OCT.  11  ON  SALE  OF  V/FTL  TO  3T0RER 

The  Federal  Communications  Commission  last  Tuesday 
granted  the  petition  of  Ralph  A.  Horton,  former  investment  banker 
of  Fort  Lauderdale,  Fla.  and  the  Fort  Industry  Company,  of  which 
Lieut.  Commander  George  B.  Storer  is  president,  but  on  leave  of 
absence  for  the  duration,  asking  that  the  hearing  be  expedited  in 
the  apoli cat ions  of  Mr.  Horton  for  assignment  of  license  of  WFTL, 
WAAD  and  WRET,  to  cover  construction  permit  and  of  The  Fort  In¬ 
dustry  Co.  for  modification  of  license;  ordered  that  a  consolidated 
hearing  on  the  applications  be  set  for  Monday,  October  11,  in 
Miami;  and  further  ordered  that  the  presiding  officer  at  the 
hearing  be  authorized  to  adjourn  it  to  such  other  points  as  he 
deems  necessary  for  its  expedition. 

This  has  to  do  with  the  sale  of  WFTL  at  Fort  Lauderdale 
established  by  Mr.  Horton  to  the  Fort  Industry  Company,  the  Vice- 
President  of  which  is  J.  H.  Ryan,  Assistant  Director  of  Censorship 


-3- 


9/24/43 


in  Washington,  also  on  leave  for  the  duration. 

In  designating  the  proposed  assignment  for  hearing, 
the  FOG  also  set  down  for  consideration  at  the  same  time  the 
application  for  license  to  cover  the  construction  permit  author¬ 
izing  WPTL  to  change  its  frequency  from  1400  to  710  kc  and  to 
increase  its  power  from  250  to  10,000  w.  which  would  make  it  the 
most  powerful  in  the  south.  The  station  has  been  on  program  tests 
for  several  months  on  the  new  facility  and  the  hearing  on  that 
phase  of  the  proceeding  is  in  connection  with  the  issuance  of  a 
formal  license  for  the  new  facility.  Also  designated  for  siraul^ 
taneous  hearing  was  WPTL  application  to  move  main  studios  from 
Fort  Lauderdale  to  Miami. 


X  X  X  X  X  X  X 

HOUSE  JUDICIARY  COMMITTEE  SIDESTEPS  COX-PCC  ROW 

The  House  Judiciary  Committee,  of  which  Judge  Sumners, 
(D)  of  Texas  is  chairman,  doesn't  propose  to  get  caught  in  the 
scrap  between  Representative  Cox  (D)  of  Georgia,  and  the  Federal 
Communications  Commission  which  Mr.  Cox  now  has  on  the  grill. 

This  became  known  when  the  Judiciary  Committee  turned  down  a 
plea  from  PCC  Commissioner  Clifford  J.  Durr,  Mr.  Durr  had  pe¬ 
titioned  Speaker  Rayburn  ( D)  of  Texas  last  May  to  oust  Cox  as 
chairman  of  the  special  House  committee  Investigating  the  PCC, 
because  of  "bias  and  personal  interest,"  The  netition  went  to 
Sumner's  committee.  Durr  then  asked  to  be  heard  on  the  petition, 
renewing  his  request  to  the  committee  v/hen  Congress  returned  from 
its  recess. 


Chairman  Sumners’  reply  to  Durr’s  requests,  said: 

"The  opinion  seems  to  be  general  among  the  mem.bers  of  the  com¬ 
mittee,  and  is  one  in  v;hich  I  concur,  that  the  committee  has  no 
jurisdiction  and  no  responsibility  as  a  committee  with  reference 
to  the  subject  matter  of  the  communication  (Durr’s  letter). 

Durr’s  last  letter,  dated  September  14,  charged  that 
the  procedures  of  the  Cox  comimittee  "have  more  than  confirmed  ray 
original  feeling  that  an  investigation  by  a  committee  created  and 
staffed  as  this  one  is,  could  serve  no  purpose  except  to  prosti¬ 
tute  the  investigatory  powers  of  Congress." 

He  recalled  that  his  petition  had  cited  "acceptance 
by  Congressman  Cox  of  a  $2500  fee  for  services  rendered  Station 
WALBj  Albany,  Ga.,  in  connection  with  its  application  to  the 
commission  for  a  radio  station  license,  and  his  use  of  this 
$2500  to  purchase  stock  of  Albany  Herald  Broadcasting  Co.,  party 
to  an  application  then  pending  before  the  commission  for  a  trans¬ 
fer  of  such  license," 

Representative  Cox  early  last  year  described  the  trans¬ 
action  to  the  House  and  said  that  the  $2500  went  to  a  private 
charity. 


-4.- 


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9/24/43 


Durr*s  first  appeal  to  Chairman  Sumners  for  a  hearing 
said  in  part: 

’’Feeling  as  strongly  as  I  do  about  the  importance  of 
the  investigatory  power  of  Congress,  I  would  regret  being  placed 
in  the  position  which  could  be  construed  as  one  of  hostility  to 
the  exercise  of  that  power,  or  as  an  indication  that  I  have  some¬ 
thing  to  hide  from  Congress o 

”Hov/ever,  I  am  equally  strong  in  my  reluctance  to 
testify  before  the  select  (  Cox)  committee  as  now  constituted  be¬ 
cause  I  am  convinced  that  its  chairman  and  staff  have  purposes 
to  serve  which  are  inconsistent  with  a  fair  and  impartial  deter¬ 
mination  of  the  facts*” 

X  X  X  X  X  X  X  X 

SWITZERLAND  LINKED  TO  U.S.  3Y  RCA  RADIOPHOTO  SERVICE 

Opening  of  a  new  radiophoto  circuit  between  New  York 
and  Berne,  Switzerland,  only  neutral  country  in  the  heart  of 
Nazi-held  Europe,  was  announced  Tuesday  by  R« C. A. Communications, 
Incc 


The  new  3,900-mile  circuit,  which  RCAC  operates  in 
cooperation  with  Radio  Suisse,  is  licensed  by  the  Federal  Com¬ 
munications  Commission  to  carry  commercial  photographs,  drawings, 
sketches,  documents  and  all  types  of  printed  or  written  material* 

The  Switzerland  circuit  is  the  sixth  opened  by  RCA 
since  the  outbreak  of  the  war,  the  others  being  to  Sweden,  Russia 
Egypt,  Hawaii  and  Australia. 

X  X  X  X  X  X  X 
FCC  TO  INVESTIOiiTE  RACING  CIRCUITS 

To  conserve  critical  materials  and  skilled  personnel 
for  war  purposes  and  to  improve  telegraph  service,  the  Federal 
Communications  Commission  has  ordered  an  immediate  investigation 
of  telegraph  and  telephone  facilities  leased  for  such  ’’non- 
essential”  uses  as  the  rapid  dissemination  of  race-track  informa¬ 
tion  for  gambling  purposes. 

The  Commission’s  inquiry  as  directed  toward  the  leas¬ 
ing  of  telegraph  circuits  with  ’’drops”  to  bookie  establishments 
and  not  to  the  use  of  wire  facilities  for  the  transmission  of 
racing  information  by  press  associations,  newspapers  and  radio 
stations  in  the  regular  course  of  their  business  of  informing 
the  general  public. 

From  testimony  presented  during  the  course  of  public 
hearings  on  the  merger  application  of  Western  Union  and  Postal 
Telegraph,  Inc.,  it  apoeared  that  Yifestern  Union  has  over  12,000 
miles  of  circuits  leased  for  the  dissemination  of  racing  informa¬ 
tion.  It  further  appeared  that  critical  materials  and  skilled 
personnel  are  required  to  install,  maintain  and  disconnect  these 
’’non-essential”  facilities* 


-5 


9/24/43 

BSLIEV.2D  PCC  APPROVAL  OF  BLUE  NET  "IS  IN  THE  BAG". 

One  of  the  high  officials  of  the  Federal  Communications 
Commission  told  this  writer  Thursday  that  in  his  opinion,  Edward 
J.  Noble  had  nothing  to  worry  about  regarding  the  approval  of 
the  Commission  on  his  purchase  of  the  Blue  Network. 

"\Vhy  then,"  this  writer  asked,  "is  the  FCC  stalling 
along  and  why  after  all  this  testimony  has  been  taken  when  they 
must  know  the  proposition  bacloivards  and  forwards  are  they  asking 
Mr.  Noble  for  a  statement  of  general  policy  in  the  handling  of 
the  network?" 

"They  are  simply  getting  a  record",  was  the  reply. 

"The  Commission  has  been  criticized  for  passing  on  transfers  too 
hastily.  Also  you  wait  to  remember  that  this  is  a  big  thing  — 
an  |8, 000, 000  proposition  --  and  the  first  time  the  Commission 
has  had  to  approve  the  sale  of  a  network  and  they  want  to  make 
sure  of  their  procedure." 

"You  understand,  of  course,  the  Commission  doesn^t  have 
anything  to  say  about  the  actual  sale.  However,  it  has  the 
authority  to  pass  upon  the  transfer  of  the  licenses  of  the  three 
stations,  WJZ,  New  York,  KGO,  San  Francisco,  and  VfENR,  Chicago. 

It  could  block  the  sale  in  that  way,  but  I  am  certain  there  is 
not  a  possibility  of  the  Commission  doing  that." 

Nevertheless,  Mr.  Noble  was  questioned  sharply  when  he 
appeared  before  the  Commission. 

Mr.  Noble  said  that  he  approved  the  net’s  stand  in  sell¬ 
ing  time  to  advertisers  and  giving  time  to  non- commercial  groups 
to  advocate  their  philosophies. 

"Have  you  ever  set  standards  for  selling  time  to  groups?’ 
asked  Commissioner  T.  A.  M.  Cravan.  "We  have  not,"  was  the  ans¬ 
wer. 


"The  Commission  is  entitled  to  a  formulated  policy," 
said  Chairman  Fly. 

"It  would  be  difficult,"  replied  Noble,  "if  you  begin 
selling  arguments,  you  lose  your  audience.  Under  the  present  ar¬ 
rangement,  both  sides  get  equal  treatment.  They  get  time  free." 

"Suppose  you  ovmed  a  station  in  the  District  of  Columbia' 
he  asked,  "and  some  citizens  organized  a  campaign  against  taxation 
without  representation,  would  you  sell  them  time?"  Mr.  Treble  said 
he  would  give  time  but  not  sell  it.  Vftien  Mark  Woods,  President  of 
the  Blue,  was  asked  why  Blue  does  not  sell  to  ideological  groups, 
he  replied: 

"We  are  afraid  that  if  we  sell  time  for  preaching  of 
philosophy  or  ideas,  the  best  time  would  gratitate  to  those  with 
money,  and  other  groups,  such  as  religious  groups,  would  be  left 
out  in  the  cold." 


-6- 


9/24/43 

Mr.  Woods  said  that  the  Blue  spent  close  to  $1,000,000 
a  year  on  sustaining  programs. 

X  X  X  X  X  X  X 

SHARPE  NEW  V^fPB  RADIO  DIVISION  ASSISTANT  LABOR  AIDE 

Ray  C.  Ellis,  Director  of  the  Radio  and  Radar  Division 
of  the  War  Production  Board,  Thursday  announced  the  appointment 
of  Harold  R.  Sharpe  of  Philadelphia  as  assistant  director  for 
labor. 


Mr.  Ellis  has  delegated  to  Mr.  Sharpe  responsibility 
within  the  Radio  and  Radar  Divisicn  for  handling  labor  problems, 
determining  manpower  needs  in  critical  plants  and  areas,  and  se¬ 
curing  aopropriate  interagency  action  to  alleviate  plant  and  com¬ 
munity  hindrances  to  the  most  effective  use  of  available  manpower. 
Mr.  Sharpe  also  will  analyze  individual  plant  manpower  require¬ 
ments,  upon  request,  in  conjunction  with  Selective  Service 
National  Headquarters,  advise  regional  WPB  radio  specialists  on 
labor  problems  and  make  any  necessary  recommendations  as  to  re¬ 
adjustment  of  production  schedules. 

In  handling  such  problems,  Mr.  Sharpe  will  be  guided  by 
the  policies  and  methods  of  the  V/PB  Vice  Chairman  for  Labor  Pro¬ 
duction  and  the  WPB  Vice  Chairman  for  Manpower  Requirements  who 
were  consulted,  in  accordance  with  WPB  directives,  before  his 
appointment . 

Mr.  Sharpe  has  served  as  secretary  of  the  labor-manage¬ 
ment  Electronics  Manpower  Advisory  Committee,  formed  several 
months  ago  at  the  request  of  'WPB  and  the  Army  and  Navy  to  assist 
the  rapidly  expanding  industry  in  handling  manpower  problems. 

Mr.  Sharpe  was  born  in  Wilkes  Barre,  Pa.  He  is  44  years 
of  age  and  is  married.  For  the  past  seven  years  he  has  served  as 
Secretary  and  Business  Agent  of  the  United  Electrical,  Radio  and 
Machine  V/orkers  (  CIO)  local  union  representing  employees  of  the 
Philco  Corporation  in  Philadelphia  where  he  had  been  employed  for 
four  years  as  a  radio  laboratory  inspection  control  supervisor. 
From  1929  to  1933  he  was  proprietor  of  a  radio  and  refrigeration 
sales  agency  and  from  1919  to  1929  operated  a  machine  and  metal 
working  shop  in  Philadelphia. 

His  appointment  as  an  assistant  director  is  the  first  to 
be  announced  by  WPB  Industry  Divisions  since  the  establishment  of 
the  two  vice  chairmen  from  the  ranks  of  labor  and  is  in  accord¬ 
ance  with  the  organization  plan  outlined  when  their  offices  were 
established.  Other  labor  men,  who  had  previously  been  appointed, 
include  Matthew  Burns  of  the  Pulp  and  Paper  Division,  Tliomas  F. 
Lynch  of  the  Printing  and  Publishing  Division,  and  Harold  J. 
Ruttenberg  of  the  Steel  Division. 

X  X  X  X  X  X  X 


-7- 


9/24/43 

CECIL  BROVim  OUT  OF  CBS;  WHITE  AGAIN  HITS  COMMENTATORS 

As  a  result  of  not  heeding  suggestions  of  the  Columbia 
Broadcasting  System  to  keep  personal  opinion  out  of  news  broad¬ 
casts,  Cecil  Brov/n,  well  known  CBS  commentator  was  offered  and 
accepted  a  cancellation  of  his  contract,  effective  not  later 
than  today  (  September  24) • 

At  the  same  time  Paul  W.  White,  Director  of  CBS  News 
Broadcasts,  addressing  the  Association  of  Radio  News  Analysts  in 
New  York  again  blasted  "opinionated”  news  broadcasts.  Likewise 
tying  into  this  CBS  ran  full-page  advertisements  in  the  New  York 
and  Vi/ashington  newspapers  captioned  "lifey  Neither  CBS  News  Broad¬ 
casters  nor  CBS  News  Sponsors  ’Opinionate  the  news’". 

Cecil  Brown  has  been  succeeded  by  Bill  Henry,  chief 
correspondent  of  Columbia’s  vVashington  News  Bureau.  CBS  gave  out 
the  following  statement  with  regard  to  the  break  with  Mr.  Brown: 

"In  a  broadcast  over  the  Columbia  Network  on  August 
25th,  Cecil  Brown,  under  the  guise  of  nev/s  analysis,  expressed 
personal  opinions  which  Mr.  ’nThite,  Director  of  News  Broadcasts, 
pointed  out  to  him  were  not  only  dangerous  to  public  morale  in 
the  war  effort,  but  could  not  be  justified  as  factual  reporting. 

"This  criticism  v/as  contained  in  a  memorandum  from  Mr. 
Vifhite  to  Mr.  Brown  on  August  27th.  It  quotes  certain  of  the 
passages  which  were  inimical  to  the  public  interest  and  reiterates 
the  CBS  news  policies  which  Mr.  Brown  had  in  this  instance 
clearly  violated.  CBS  would  not  ordinarily  release  an  inter¬ 
office  communication  but  does  so  in  this  instance  only  because 
Mr.  Brown  himself  has  seen  fit  to  make  the  incident  public. 

"The  memorandum  follows : 

"To:  Mr.  Brown 

"From:  Paul  l^ite  August  27,  1943 

"I  have  looked  over  your  ’analysis’  of  11:10  on 
Wednesday  night  and  have  found  it  to  be,  in  ray  opinion,  nothing 
but  an  editorial. 

"When  you  make  the  statement  ’any  reasonably  accurate 
observer  of  the  American  scene  at  this  moment  knows  that  a  good 
deal  of  the  enthusiasm  for  this  war  is  evaporating  into  thin  air’, 

in  my  judgment  you  are  indulging  in  defeatist  talk  that  would  be 

of  immense  pleasure  to  Dr.  Goebbels  and  his  boys.  That  statement 

is  made  at  a  time  when  all  production  records  are  being  broken, 

when  the  largest  sum  of  money  ever  to  be  sought  by  our  government 
is  going  to  be  invested  in  government  bonds  ^  the  people  them¬ 
selves,  and  at  a  time,  according  to  every  single  eyewitness 
account  we  have  had  from  the  battlef ronts,  when  American  military 
morale  was  never  higher. 


-8' 


9/24/43 


"The  entire  ’analysis'  was  a  statement  of  what  Cecil 
Brown  thinks,  of  what  Cecil  Brown  would  have  done  had  he  been 
President  Roosevelt,  disregarding  the  very  obvious  truth  that  the 
people  did  not  elect  Cecil  Brown  but  did  elect  President  Rooseveltc 

"Another  statement  seriously  open  to  question  is  'the 
need  for  sacrifice  in  America  is  becoming  less  acceptable  to  the 
people.'  I  submit  that  despite  a  very  brief  trip  around  the 
country,  it  would  be  impossible  for  anyone  to  gather  sufficient 
information  about  the  temper  and  spirit  of  the  American  public  to 
give  him  sufficient  authority  to  make  such  a  statement.  It 
illustrates  to  me  what  I  previously  suspected,  that  you  undertook 
the  tour  of  the  country  with  preconceived  notions  and  merely 
looked  for  the  things  which  would  support  your  theoriesr 

"At  any  rate,  you  are  completely  familiar  with  our 
policies  in  regard  to  news  analysis.  These  policies  are  in  no 
sense  capricious.  They  have  been  formulated  for  the  protection 
of  the  public  and  to  me  it  is  vital  that  they  be  enforced  if  we 
are  to  achieve  any  genuine  freedom  of  the  air.  I  expect  you  to 
conform  to  these  policies.  If  you  find  that  it  is  impossible  for 
you  to  do  so,  then,  of  course,  I  will  be  glad  to  consider  afford¬ 
ing  you  relief  from  your  contract  with  us« 

(  Signed)  PYfi/V 

"On  September  second,  Mr.  Brown  asked  for  a  release 
from  his  contract  with  CBS,  effective  not  later  than  September 
24th.  CBS  accepted  Mr.  Brown's  resignation  'with  regret'." 

Concluding  his  talk  to  the  Radio  News  Analysts,  Mr. 

White  said: 

"The  policies  which  are  under  discussion  are  those  in 
which  we  say  in  effect:  'You,  Mr.  News  Analyst,  have  been  given 
a  preferred  position  in  a  limited  medium  to  aid  the  listener  in 
understanding  the  news.  You  are  to  bring  the  news  into  focus  from 
your  own  special  or  common  knowledge  and  from  your  rich  background 
in  the  study  of  current  affairs.  You  will  illuminate  the  news  and 
enrich  an  understanding  of  it  but  you  will  not  be  a  self -designated 
Messiah.  To  give  you  the  opportunity  to  harangue  and  persuade  in 
the  direction  of  your  own  beliefs  would  be  to  tilt  the  scales  on 
every  public  question  in  your  favor.  This  would  not  make  for  a 
free  radio,  but  for  a  one-sided  and  dangerously  autocratic  one. 

You  and  the  small  group  of  other  news  analysts  could,  if  they 
"opinionated"-  their  broadcasting,  exert  a  dominating  power  over 
public  opinion.  Such  pov/er  in  the  hands  of  a  few  would  destroy 
all  fairness  on  the  air  --  and  in  a  democratic  world  there  is  no 
freedom  without  fairness'." 

Major  Fielding  Eliot,  president  of  the  News  Analysts 
Association,  and  William  L.  Shirer,  both  CBS  commentators  said 
they  had  not  encountered  any  difficulties  with  Columbia. 

However,  H,  V.  Kaltenborn,  NBC  commentator  almost  ex¬ 
ploded.  He  said:  "There  is  not  a  single  other  network  that 
agrees  with  Paul  Wliite",  and  ar^ed  that  CBS  "only  pretends  to  do 
something  it  really  doesn't  do.  " 


9/24/43 


DREW  PEARSON  AND  BLUE  SUED  FOR  ^28,000,000. 

These  days  hardly  anybody  who  is  sued  for  libel  is 
sued  for  less  than  a  million,  but  a  much  fancier  figure  was  set 
by  Ira  Chase  Koehne,  Frank  Clark  and  H.  Victor  Broenstrop,  who 
are  endeavoring  to  nick  Drew  Pearson,  the  Blue  Network  and  the 
Washington  Evening  Star,  owner  of  'MAL,  and  Serutan,  Mr.  Pearson’s 
sponsor,  for  $28,000,000. 

The  plaintiffs  claim  Mr.  Pearson  made  "public  accusation 
and  imputation  of  infamous  crimes"  against  them.  Koehne  and 
Broenstrop  are  allegedly  defense  counsel  for  V/m.  Dudley  Pelley, 
the  Silvershirter . 

"l  am  complimented  at  the  high  figure,"  Mr.  Pearson 
commented,"  I  recently  sued  Time  Magazine  for  $2.50  for  lifting 
my  stuff.  I  expect  to  collect  more  from  Time  than  I  think  the 
$28,000,000  boys  will  be  able  to  collect  from  us." 

XXXXXXXX 

WOR  SIGNS  UP  WITH  PETRILLO;  6  CONCERNS  STILL  HOLD  OUT 

The  WOR  Recording  Studios  signed  a  contract  last 
Wednesday  with  the  iunerican  Federation  of  Musicians,  of  which 
James  C.  Petrillo  is  president,  permitting  it  to  resume  the  use 
of  music  in  the  recording  of  commercial  electrical  transcriptions. 

Thomas  Kelleher,  Manager  of  the  WOR  Recording  Studios, 
stated:  "Effective  today  (September  22),  the  WOR  Recording 
Studios,  because  of  an  agreement  just  signed  with  the  American 
Federation  of  Musicians,  is  prepared  to  resume  immediately  the 
use  of  music  in  the  production  of  commercial  electrical  trans¬ 
criptions  . " 

The  agreement  is  the  same  as  that  which  World  Broad¬ 
casting  System,  Inc.,  and  Decca  Records  Inc.  are  expected  to  sign 
very  shortly  with  the  American  Federation  of  Musicians  insofar  as 
commercial  electrical  transcriptions  are  concerned. 

At  this  writing,  the  other  six  transcription  companies 
are  still  holding  out.  Declaring  that  the  agreement  between 
World  vVide  and  Decca  provided  for  payment  to  the  union  instead  of 
the  musicians,  a.  Walter  Socolow,  counsel  for  the  six  transcrip¬ 
tion  companies,  described  such  a  principle  as  "thoroughly 
abhorrent . " 

"It’s  just  a  ’slush  fund’  and  we  won’t  subscribe  to 
it",  Mr.  Socolow  said. 

According  to  Variety  the  aFM  gained  a  rather  small 
victory  in  achieving  the  basis  for  a  complete  settlement. 

"Petrillo  has  frequently  quoted  figures  between 
$3,500,000  and  $5,000,000  as  the  amount  he  expected  to  receive 
from  the  disc  industry  to  help  the  AFIvI’s  unemployment"  says 
Variety.  "The  contract  with  Decca,  plus  the  eventual  inclusion 

-10- 


9/24/43 


of  the  remaining  majors,  Columbia  and  Victor,  and  the  numerous 
smaller  manufacturers,  would  make  the  total  cash  accumulation  to 
the  AFM  from  all  sales  approximately  $350,000  to  $400,000 
annually,  based  on  current  war-restricted  sales,” 

An  editorial  in  the  New  York  Times  headed  ”\Vhy  Petrillo 
Wins"  chalks  the  victory  up  to  the  labor  policy  of  the  Administra¬ 
tion  and  Congress.  Tlie  Times  editorial  reads  in  part: 

"One  of  the  phonograph  record  companies  has  succumbed 
in  large  part  to  Mr.  Petrillo’ s  demands.  It  has  signed  a  four- 
year  contract  with  him  agreeing  to  pay  fees  on  every  record  it 
sells,  ranging  from  one-quarter  of  a  cent  on  records  selling  for 
35  cents  to  5  cents  on  a  $2  disk.  According  to  earlier  reports 
the  fees  were  to  be  paid  to  the  musicians  actually  engaged  in 
making  the  recordings.  It  was  understood  that  the  musicians,  in 
turn,  would  be  taxed  by  the  union  to  aid  its  unemployed.  Later 
reports,  however,  are  that  the  fees  will  be  paid  by  the  record 
company  direct  to  the  union, 

"Either  of  these  arrangements  would  be  unsound  in  prin¬ 
ciple,  the  second  would  be  the  worse.  In  either  case  Mr.  Petrillo 
would  be  levying  a  private  tax--in  one  case  on  employers,  in  the 
other  on  members  of  his  own  union. 

"It  would  be  lacking  in  clarity  of  thought  to  put  the 
primary  blame  for  the  resulting  situation  either  on  Mr,  Petrillo 
personally  or  on  any  record  company  that  succumbs  to  his  terms. 

The  primary  blame  must  be  placed  on  the  Administration  and  Congress 
who,  by  their  official  labor  policy,  have  placed  in  the  hands  of 
labor  leaders  the  private  irresponsible  powers  which  enable  them 
to  drive  such  anti-social  bargains," 

XXXXXXXX 

TO  PRESS  PROBE  OF  PCC  ALLEGED  REDS;  HITS  BACK  AT  FDR 

More  trouble  with  Congress  was  seen  for  President 
Roosevelt  when  it  was  revealed  that  his  rebuke  to  that  body  in 
connection  with  Goodwin  Watson  and  William  E,  Dodd,  Jr.,  PCC 
officials  and  Dr,  Robert  M,  Lovett  would  not  be  taken  "lying  down". 
Chairman  Kerr  of  the  House  Appropriations  Sub-committee  investi¬ 
gating  the  loyalty  of  these  employees  characterized  the  President’s 
rebuke  as  "nonsense"  and  "absurd". 

Representative  Kerr  whoso  committee  clashed  with  Mr, 
Roosevelt  over  the  dismissal  of  the  three  Federal  workers  said  it 
would  meet  soon  and  continue  to  fight  the  issue  out  with  the 
White  House, 

Mr,  Roosevelt  recently  sent  a  message  to  Congress  assail¬ 
ing  the  House  action.  He  described  the  legislative  action  as 
similar  to  a  bill  of  at taint^er  (  sentence  without  trial), 

« 

"That  stuff  about  a  bill  of  attainder  is  a  lot  of  non¬ 
sense,"  said  Mr,  Kerr,  "We  fully  heard  every  one  of  those  men 
and  every  one  so  admitted,” 

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INDEX  TO  ISSUE  OF  SEPtolBER  28,  1943 


Attacks  Renewed  on  Cox  as  Unfit  to  Conduct  FCC  Probe  .  1 

Officials  Prodded  to  Prosecute  Cox  in  Bribe  Charge  . .  2 

Both  Sides  Appear  on  Shaky  Ground  in  FCC  Employes  Case  .  3 

Accuses  Weather  Bureau  of  Camouflage  Bungling  .  4 

Radio-Telephone  Seen  As  Postwar  Possibility .  5 

OWI  To  Give  Press  and  Radio  All  Possible  War  News  .  5 

Pictures  From  War-Fronts  in  7  Minutes  .  6 

Sees  Companies  Killed  Off  If  U.S.  Prevents  Advertising  ........  7 

Cowles  Pounds  $36,  000  Midwest  Farm  Sdaolarchip .  . . .  .  8 

Declares  FCC  Investigation  Has  Gone  Far  Afield  .  8 

Wire  Records  60  Minutes  of  War  News  Continuously  . . . .  9 

"Freedom  to  Listen"  FCC  Head’s  Boston  Topic  .  10 

Radio  Aids  Fine  Navy  Aviation  Ambulance  Team  Work  .  10 

If  Offered  CBC  Job  Johnson  Likely  to  Stick  to  Opera . . . 10 

Trade  Notes  .  11 


Report  No.  1565 


September  28,  1943 


ATTACKS  RSNEV/BD  ON  COX  AS  UNFIT  TO  CONDUCT  FCC  PROBE 

The  week-end  was  marked  by  a  sharp  renewal  of  the  demand 
that  Rep»  Eugene  E.  Cox  (  D)  of  Georgia  be  removed  as  chairman  of  a 
special  committee  investigating  the  Federal  Communications  Commis¬ 
sion,  FCC  Commissioner  C.  J.  Durr  again  asked  Sneaker  Rayburn  ( D) 
of  Texas  to  disqualify  Mr,  Cox, 

A  public  letter  was  likev;ise  directed  to  Speaker  Rayburn 
by  the  Vi/ashington  Post,  demanding  the  removal  of  Rep.  Cox,  Drew 
Pearson  added  his  protest  over  the  Blue  Network  Sunday  ni^t,  Mr, 
Pearson  said  that  two  members  of  the  Cox  Committee,  Representatives 
Magnuson  ( R)  of  Washington  and  Hart  ( R)  of  New  Jersey,  would  soon 
submit  a  minority  report  stating  that  they  do  not  approve  the  tac¬ 
tics  used  by  Mr,  Cox  in  not  permitting  FCC  officials  to  be  heard. 

However,  there  appears  to  have  been  a  reversal  of  this 
procedure  in  the  committee  inviting  witnesses  from  the  Radio 
intelligence  and  the  Foreign  Broadcast  Intelligence  Divisions  to 
testify  when  the  hearings  are  resumed,  probably  sometime  this  week. 
It  is  also  expected  that  Commissioner  T, A, M, Craven  will  also  be 
called  upon  to  resume  the  stand. 

In  his  letter  to  Speaker  Rayburn,  Commissioner  Durr  point¬ 
ed  out  he  had  filed  the  petition  last  May  13,  but  that  no  action 
had  yet  been  taken. 

Chairman  Sumners  of  the  House  Judiciary  Committee  informed 
Mr,  Durr  Thursday  that  the  committee  had  no  jurisdiction  to  consider 
the  plea  for  Mr,  Cox*s  disqualification.  Originally  Mr.  Durr’s 
petition  had  been  sent  to  Mr,  Rayburn  who  transmitted  it  to  the 
Judiciary  Committee. 

The  petition  alleges  Mr.  Cox  has  a  personal  interest  in 
the  investigation  and  is  prejudiced. 

"I  am  not  familiar  with  the  rules  of  the  House,  but 
certainly  there  must  be  some  method  by  which  my  petition  can  bo 
formally  brought  to  its  attention,”  the  Commissioner  wrote,  "I 
cannot  believe  that  the  House  of  Representatives,  with  full  know¬ 
ledge  of  the  facts  set  forth  in  my  petition,  filed  over  four  months 
ago,  would  Indorse  Representative  Cox  as  a  suitable  person  to  ser-ve 
as  Chairman  or  even  as  a  member  of  the  select  committee,”  he  addeos 

Absence  of  procedure  for  bringing  such  a  petition  before 
Congress  would  make  the  constitutional  right  of  petition  meaning¬ 
less,  Mr.  Durr  declared. 


X  X  X  X  X  X  X  X  X  X  X 


■J 


9/28/43 


officials  pfoddfd  to  prosecute  cox  in  bribe  charge 

If  a  bazooke  gun  had  exploded  in  the  Array  Show  sponsored 
by  the  Washington  Post,  it  would  not  have  attracted  any  more  atten¬ 
tion  in  the  Capitol  last  week,  than  the  front  page  letter  Eugene 
Meyer,  publisher  of  the  Post ,  addressed  to  Speaker  Sara  Rayburn, 
urging  hira  to  take  notice  of  the  bribery  charges  against  Represents 
tive  Cox. 


Appearing  in  the  paper  that  practically  every  important 
official  sees  in  the  morning,  Mr.  Meyer’s  letter  read  in  part: 

"The  Washington  Post  is  addressing  you  on  a  matter  which, 
in  its  opinion,  goes  to  the  very  roots  of  public  confidence  in  the 
House  of  Representatives. 

"The  Department  of  Justice  has  for  many  months  been  con¬ 
sidering  submission  to  a  grand  jury  of  the  evidence  laid  before  it 
by  the  Federal  Communications  Commission  to  supoort  a  criminal 
charge  against  Congressmen  Eugene  E.  Cox  of  Georgia.  Tlie  charge  is 
that,  in  flat  violation  of  the  Criminal  Code,  Mr.  Cox  received  nay 
for  legal  services  rendered  to  a  private  client  before  the  Federal 
Communications  Commission.  This  charge  against  a  Congressman  must 
be  one  of  particular  gravity  to  you,  as  Speaker  of  the  House.  For 
it  implies  an  offence  which  undermines  a  basic  principle  of  good 
goverrmient,  namely,  that  the  legislator  shall  not  for  private  pay 
place  himself  in  a  position  of  possible  conflict  with  nublic  duty. 

"The  Attorney  General’s  hesitancy  to  act  in  the  case  of 
Mr.  Cox  is,  in  our  view,  related  only  to  one  thing,  and  that  is  to 
the  undeniable  fact  that  the  House  by  its  action  shows  a  continuing 
sense  of  confidence  in  Mr.  Cox. 

"As  Speaker  of  the  House,  you  appointed  Mr.  Cox  last 
soring  a  member  (he  subsequently  became  chairman)  of  the  Select 
Committee  to  Investigate  the  Federal  Communications  Commission. 

Last  May,  a  member  of  that  commission,  Mr.  Clifford  J.  Durr,  filed 
with  you,  as  Sneaker  of  the  House,  a  netition  requesting  that  the 
House  disqualify  Mr.  Cox  as  a  member  of  the  Select  Committee 
’because  of  his  bias  and  personal  interest.’ 

"During  the  entire  past  summer,  while  the  Durr  petition 
was  asleep  in  the  Judiciary  Committee,  the  Cox  investigation,  if  io 
may  be  called  that,  proceeded  apace.  In  the  opinion  of  no  qualifie 
and  dispassionate  observer  has  this  investigation  proven  anything 
but  a  mockery  of  basic  American  traditions  of  fair  play.  It  has 
been  a  star  chamber;  it  has  been  black  with  bias;  it  has  sought 
to  terrorize  those  who  exposed  the  chairman’s  ovm  corrupt  practice.-: 
Mr.  Cox  has  corrupted  the  high  function  of  the  investigatory  power 
of  Congress.  It  there  was  ever  ground  for  the  House  retaining  ccn  • 
fidence  in  Mr.  Cox,  if  there  was  ever  ground  for  believing  that  ib 
was  right  for  him  in  particular  to  head  an  investigation  of  the 
Federal  Communications  Commission  --  v/hat  ground  is  left  now? 


2— 


>> 


9/28/43 


"The  House,  which  by  its  past  action  has  created  the 
illusion  of  confidence  in  Mr.  Cox,  must  now  by  present  action  dispel 
that  illusion.  As  things  stand,  there  is  no  ground  for  confidence 
in  Mr.  Cox,  and  the  House  must  by  what  it  now  does  either  reject 
Mr.  Cox  or  vindicate  him.  The  Durr  petition,  which  now  again  lies 
on  your  desk,  Mr.  Speaker,  must  be  taken  up.  It  is  for  you  and 
the  House  to  determine  through  what  committee  in  the  House  it  is 
aporopriate  to  act,  but  a  method  must  be  found.  The  House,  through 
some  appropriate  means,  must  conduct  its  own  investigation  of  Mr, 

Cox,  and,  in  the  process,  not  fail  to  instruct  Mr.  Cox  in  the 
method  of  investigation  that  truly  conforms  to  American  tradition. 

"Mr,  Sneaker,  you  are  known  to  us  and  to  the  country  as  a 
legislator  of  Integrity  and  good  will.  The  House  is  in  the  main 
composed  of  such  legislators.  The  Post  calls  upon  you  and  your 
colleagues  to  arouse  yourselves  and  to  submerge  whatever  there  may 
be  of  personal  loyalty  to  Mr.  Cox  to  the  far  higher  compulsions 
which  derive  from  your  proven  loyalty  to  the  Integrity  of  the 
American  legislative  process," 

X  X  X  X  X  X  X  X 

BOTH  SIDES  appear  ON  SHAKY  GxlOUND  IN  FCC  EMPLOYES  CASE 

With  the  comeback  at  President  Roosevelt  of  Chairman  Kerr 
(D)  of  North  Carolina  of  the  House  Appropriations  Subcommittee  in¬ 
vestigating  the  loyalty  of  Messrs,  Watson  and  Dodd,  FCC  employes, 
and  Dr,  Lovett,  another  big  fight  looms  between  Congress  and  the 
President . 


Mr,  Roosevelt  said  there  were  no  findings  of  Incompetence 
against  the  trio,  pointed  out  that  no  impeachment  proceedings  had 
been  instituted,  and  described  the  legislative  action  as  similar  to 
a  bill  of  attainder  (  sentence  without  trial) . 

Representative  Keefe  of  Wisconsin,  a  Republican  member  of 
Kerr’s  committee,  said  the  three  men  had  assured  the  committee  they 
felt  they  had  received  a  "good,  fair  hearing". 

"On  the  question  of  interference  with  judicial  procedure 
raised  by  the  President,  I  would  point  out  that  if  they  have  any 
claims  for  court  action,  they  can  go  into  the  courts,"  Keefe  added® 
"We  are  not  stopping  them.  And  so  far  as  impeachment  against  mere 
employes  is  concerned,  it’s  an  absurdity.  These  men  do  not  hold 
Federal  posts  subject  to  impeachment." 

As  yet.  Representative  Kerr  has  not  set  a  date  for  the 
Committee  to  renew  its  deliberations.  An  editorial  in  the  New  York 
Times  expressed  the  opinion  that  both  sides  were  on  "dubiouT" 
grounds.  It  saidi 

"Congress’  reason  for  trying  to  oust  these  officials  was 
merely  vague  charges  of  ’radicalism’ .  No  convincing  case  was  pre¬ 
sented  to  the  country  to  substantiate  these  charges.  So  far  as  the 
country  was  concerned.  Congress  was  legislating  against  these 


3 


■S'- 


9/28/43 


specified  individuals  on  the  mere  principle  of  *I  do  not  love  thee. 
Dr.  Fell;  the  reason  why  I  cannot  tell#* 

"By  such  methods,  Congress  could  effectively  prevent  the 
Executive  from  exercising  his  executive  functions. 

"Yet,  the  President’s  message  goes  too  far,  and  would  it*^ 
self  establish  a  dangerous  precedent.  The  President  declares  that 
he  regards  this  rider  as  unconstitutional  because  it  ’inflicts 
punishment  without  judicial  trial.’  But  it  is  certainly  stretching 
our  ordinary  concepts  to  assert  that  it  is  legal  ’punishment*  to 
oust  a  man  from  public  office  or  to  refuse  to  confirm  him.  Congress 
itself  has  been  able  to  remove  officials  obnoxious  to  it  by  the 
simple  exDsdient  of  abolishing  by  legislation  the  office  they  held, 
or  withholding  funds  to  pay  the  salary  of  that  office,  or  by  merely 
hinting  that  it  would  not  appropriate  funds  for  an  agency  as  long 
as  a  certain  individual  was  retained  as  the  head.  If  Congress  had 
adopted  one  of  these  indirect  methods  for  ousting  these  three  per« 
sens,  then,  whether  Congress  was  justified  or  not  in  its  suspicions 
or  dislike,  it  is  difficult  to  see  what  constitutional  objection 
the  President  could  have  made. 

"The  President’s  message  raises  a  still  further  issue. 

He  declares  that  he  does  not  consider  himself  bound  by  one  of  the 
terms  of  a  bill  that  he  himself  has  signed,  because  he  was  ’forced’ 
to  sign  it  ’to  avoid  delaying  our  conduct  of  the  v/ar’ .  In  sum, 
Congress  chose  a  dangerous  method  to  do  a  dubious  thing,  and  the 
President  has  chosen  some  dubious  grounds  for  his  opposition#" 

X  X  XX  X  X  X  X 

ACCUSES  'iVEATHER  BUREAU  OF  CAMOUFLAGE  BUNGLING 

There  was  a  minute  of  stormy  weather  in  the  House  last 
week  when  Representative  Carl  Hinshaw  ( D)  of  California  said: 

"The  Weather  Bureau  seems  not  to  be  immune  from  that 
disease  which  oervades  Government  agencies  during  wartime  —  namely 
Bureaucratic  bungling  and  aggrandizement  of  power.  I  am  mortified 
to  find  that  this  Bureau,  of  all  bureaus,  should  be  so  afflicted# 

"On  the  east  coast,  weather  Information  is  published 
currently  and  obtainable  by  dialing  one's  telephone.  On  the  west 
coast  it  is  very  hush-hush  and  nobody  must  know  anything,  yet  ever^ 
meteorologist  knows  that  weather  moves  generally  from  west  to  eas''^-, 
West  coast  weather  comes  from  off  the  Pacific,  and  a  Jap  sub  or  t\.r 
a  few  hundred  miles  off-shore  can  know  more  about  tomorrow’s  weathp,. 
on  shore  than  we  who  live  there#  Nazi  subs  in  the  Atlantic  need 
only  the  currently  published  east  coast  United  States  weather 
reports  to  apprise  them  of  the  weather  to  come. 

"The  Weather  Bureau’s  cunning  camouflage  is  back  end  to^. 
They  cannot  be  that  dumb.  What  is  their  peculiar  purpose?" 

Representative  Hinshaw  did  not  mention  the  fact  that  wh?l;- 
newspapers  are  allowed  to  print  weather  reports,  radio  stations  art 
not  permitted  to  broadcast  them# 

-4- 


L.  ki 


9/28/43 


RADIO-TELEPHONE  SEEN  AS  POSTWAR  POSSIBILITY 

One  of  the  big  after  the  war  developments  may  be  the 
radio-telephone,  John  Mills,  an  expert  connected  with  the  Bell 
Laboratories  has  disclosed. 

Even  now,  in  some  sections  of  the  United  States,  tele¬ 
phone  conversations  are  being  jumped  across  gaps  where  there  are 
no  poles  and  no  wires. 

'^Ve  don’t  know  how  far  the  experiment  will  be  carried,” 
Mr.  Mills  said.  "it’s  probably  economically  unsound.  Thep, again, 
we  may  find  it  commercially  practicable  .  .  •  We  have  always  used 
radio  telephone  when  engineering  considerations  indicated  that  to 
be  the  best  method,  instead  of  wire. 

’’There  is  more  secrecy  in  v/ire  connections  between  tele¬ 
phones,  because  once  you  place  a  message  on  the  air  it  is  bound 
to  spread  out.  And  that  is  why  the  radio-telephone  does  not  appear 
at  this  time  to  be  ready  for  popular  usage.” 

XXXXXXXXXXX 


OWI  TO  GIVE  PRESS  AND  RADIO  ALL  POSSIBLE  WAR  NEWS 

Palmer  Hoyt,  Director  of  the  Domestic  Branch  of  the 
Office  of  War  Information,  took  down  his  hair  addressing  the 
Southern  Newspaper  Publishers  Association  at  Hot  Springs  last 
Monday.  Mr.  Hoyt  summed  up  the  policy  of  OWI  as  briefly  this; 

’’Give  the  nev/spapers  the  radio  and  the  motion  pictures  all  possible 
information  about  the  war  day  by  day.  That  is  the  way  we  feel 
the  public  can  best  be  kept  informed. 

”The  paramount  job  is  to  see  that  you  get  the  news”  the 
Oregon  publisher  declared,  "all  the  news  all  the  time  -  about  all 
phases  of  the  war  so  that  you  and  the  people  you  serve  will  under¬ 
stand  fully  every  possible  part  of  imierica’s  greatest  experience 
and  adventure, 

"in  this  year  of  1943  -  because  of  the  advance  in  all 
types  of  communication  -  it  is  possible  for  the  people  of  America 
to  sit  in  ringside  seats  and  see  the  war  firsthand.  That  is,  .i.t 
is  possible  because  of  the  wonder  of  radio  transmission,  wire- 
photo  and  the  airplane  to  bring  the  v/ar  to  everyone’s  home  if 
only  the  armed  services,  the  OWI,  and  the  press  cooperate  entiiely 

"And  all  this  suggests  a  question  which  I  wish  that  everv* 
newspaper  publisher,  every  editor,  every  radio  executive,  and 
every  motion  picture  man  would  ask  himself:  ’In  view  of  all  the 
marvelous  technical  facilities  at  my  disposal,  am  I  doing  all  •’:hs  b 
I  can  to  bring  the  full  story  of  the  war  to  the  people  whose  war- 
it  is?  '” 


-5- 


y 


9/28/43 


"Recertly,  nearly  every  newspaper  in  the  country  carried  a 
remarkable  news  photo  of  MacArthur’s  parachutists  descending  behind 
the  Jap  lines  ir.  New  Guinea.  The  event  happened  on  a  Sunday.  The 
picture  brought  in  by  v/ire  and  radio  was  carried  in  Monday’s  papers. 
This  is  an  illui  tration  of  v/hat  can  be  done.  It  is  the  sort  of  thing 
and  the  only  thing  that  will  make  people  understand  the  war  and  be 
willing  to  participate  more  thoroughly  in  it. 

"This  country,  above  all  countries,  has  the  facilities,  the 
equiimient  and  t  ie  skill  for  doing  a  brilliant  job  of  reporting  the 
war.  If  we  but  want  to,  we  can  produce  a  running  play-by-play  story 
of  the  war,  wit  i  pictures,  with  radio  accounts,  with  nev/sreels,  that 
will  make  each  )f  us  an  eye  witness.  It  isn’t  being  done.  The  fact 
that  it  isn’t  b  iing  done  is  a  responsibility  first  of  OWI,  second  of 
the  military  se  .'’vices,  and  third  of  the  newspapers  and  radio  and 
motion  pictures. 

"An  0 ;VI  function  which  is  little  understood,  is  that  of 
clearing  general  information  for  all  phases  of  media.  This  year, 
for  example,  we  will  channel  infoiraation  on  advertising  campaigns 
through  the  War  Advertising  Council  which  will  result  in  the  use  of 
almost  half  a  tillion  dollars  worth  of  paid  advertising  on  both 
radio  and  the  printed  page.  In  this  regard  the  V/ar  Advertising 
Council  has  served  OWI  and  America  well.  This  organization  composed 
of  leading  advertising  men  of  the  country,  headed  by  Chester  J. 
LaRoche,  has  dene  yeoman  service  for  this  country  in  war  time." 

xxxxxxxxxxxx 

P3  CTUR23  FROM  WAR-FRONTS  IN  7  MINUTES 

Along  the  line  of  what  Palmer  Hoyt  of  OWI  told  the  Southern 
newspaper  publishers  at  Hot  Springs  about  the  speed  nictures  being 
handled  by  wire  and  radio.  Drew  Pearson  writes; 

"Ever day  now,  pictures  are  arriving  in  a  little  room  in 
Washington  whic r  seven  minutes  before  were  in  Algiers,  3400  miles 
away.  One  day,  just  after  the  landing  in  Italy,  41  pictures  came 
through  the  air  and  landed  safely  on  top  of  the  Pentagon  Building, 
in  a  little  room  marked,  "Conf idential--Keep  Out." 

"And  ditto  for  the  South  Pacific.  It  is  farther  away, 
but  the  seven  minutes  requirement  still  holds.  From  an  unmention¬ 
able  post  in  Australia,  the  dots  of  light  flash  into  the  little 
room,  and  you  have  a  ni cture  of  General  MacArthur  flying  in  a 
bomber  over  New  Guinea. 

"The  pictures  may  have  been  taken  by  any  one  of  the  fair 
photo  syndicates--  Acme,  AP,  INP,  or  Life--  or  they  may  have  been 
taken  by  the  Army  Signal  Service.  In  any  case,  they  can  be  tele- 
photoed  only  by  the  official  airwaves." 

XXXXXXXXXXXX 


-6- 


9/28/43 

SEES  COMPANIES  KILLED  OFF  IF  U.S. PREVENTS  ADVERTISING 


Westbrook  Pegler  discussing  the  war  advertising  situation^ 
says:  ’’Senator  Truman  has  put  a  finger  on  an  ouch  that  has  been 

fretting  a  lot  of  us  in  the  newspaper  business  and,  I  guess,  in  the 
magazine  and  radio  trades,  too. 

He  says  that  some  big  corporations  which  have  gone  over 
entirely  to  war  industry,  abandoning  the  production  of  consumer 
goods,  have  been  spending  the  people’s  money  on  their  good  will  or 
institutional  advertising  campaigns.  They  get  their  incomes  from 
Government  contracts  nov/adays,  and  altho  they  have  nothing  to  sell 
to  the  public,  they  continue  to  keep  their  names  in  the  public  eye 
and  ear  lest  they  are  forgotten.  The  cost  of  this  advertising  is 
reckoned  as  a  business  expense,  deductible  from  income  in  the  com¬ 
putation  of  their  income  taxes,  and  the  Senator  thinks  it  shouldn’t 
be  deductible  but  should  be  paid  out  of  profits,  instead. 

’’The  Treasury  raised  this  issue  a  long  time  ago  v/hen  there 
was  no  question  of  v/ar-order  revenues  and  the  companies  were  drawing 
their  money  from  straight  commercial  business  with  the  public.  Some 
of  the  leftward  ideologists  in  the  Treasury  argued  that  advertising 
constituted  a  needless  expense  added  to  the  price  of  merchandise, 
but  that  proposition  was  resisted  as  an  attempt  to  starve  the  press 
of  the  income  which  enables  it  to  remain  free  and  objective  and  thus 
superior  and  preferable  to  the  subsidized  pressure  press. 

"The  situation  is  different  now  because  the  present  ad¬ 
vertisements  to  which  Sen.  Truman  refers  are  strictly  forget-me-nots 
and  many  of  them,  far  from  exhorting  the  people  to  patronize  these 
companies,  implore  them  not  to.  The  railroads,  for  instance,  put  it 
up  to  you  as  a  patriotic  matter  to  keep  off  their  trains  unless  your 
trip  is  absolutely  necessary  or  your  name  is  Mrs.  Eleanor  Roosevelt. 

"In  the  original  Treasury  plan  it  was  contended  that  the 
people  paid  double  for  this  advertisement,  first  in  the  loss  of  taxes 
on  these  deductible  expenses,  and  again  in  a  retail  mark-up  to  cover 
the  advertising  costs.  It  all  added  up  to  the  exact  cost  of  the 
advertising,  not  twice  the  cost,  but  when  our  Treasury  wants  to  prove 
something  in  its  own  favor,  two  and  two  make  one  or  10  or  whatever 
its  point  happens  to  be. 

"Truman  doesn’t  monkey  with  that,  however.  He  simply  claims 
that  the  taxpayers  pay  the  advertising  costs  of  companies  which  have 
nothing  to  sell. 

"But,  if  it  be  granted,  as  I  think  he  grants,  that  the  good 
will  which  these  companies  have  established  by  advertising  and  per¬ 
formance  over  the  years  is  a  living  thing  which  must  be  fed  if  it  is 
to  be  kept  alive,  and  a  possession  of  great  value,  then  if  you  don’t 
let  them  maintain  their  publicity  for  the  duration,  you  are  asking 
them  to  kill  themselves  off.  Most  of  them  are  doing  wonderful  work 
in  the  war  and  would  not  have  been  in  existence  to  do  that  work  on 
short  notice  if  they  had  not  developed  in  time  of  peace. 

-7- 


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■'If  it  would  make  anyone  feel  better  it  might  be  a  nice 
idea  to  let  them  make  more  pro